Majestic Hotels Limited

Admitted to insolvency on 03 Jul 2024 by the Chandigarh bench, on a petition by UV Asset Reconstruction Company Limited (a financial creditor). The admission order states the default at Rs 1,435.57 Cr, dating from 01 Jan 2020 - 4.5 years before admission. The process is 811 days old as of 22 Sep 2026; cases that ended in a resolution plan took a median of 631 days. Mr. Navneet Gupta was appointed interim resolution professional at admission; Krishan Vrind Jain now runs the process. Expressions of interest are open until 16 Oct 2026 - 24 days from today; the invitation has been issued 8 times. Creditors have filed claims of Rs 1,986.59 Cr, of which Rs 1,820.82 Cr is admitted so far (as on 10 Jun 2026). The professional in charge was replaced once.

A five-star hotel still taking guests, carrying Rs 1,820 crore of admitted claims, ninety-nine per cent of them owed to one asset reconstruction company. Majestic Park Plaza in Ludhiana was built on IFCI and TFCI term loans; when those soured the lenders went to the DRT in 2016 and 2017, and in December 2017 UV Asset Reconstruction Company Limited bought both books and restructured them. Payments stopped in January 2020. UVARC cancelled the settlement, recalled the loan and petitioned on 05.07.2022 for Rs 1,435.57 crore as on 28.02.2022. The corporate debtor's defence was Section 10A -- that the default fell in the Covid moratorium window -- and NCLT Chandigarh Court-II rejected it on the ground that default had already occurred on 01.01.2020, admitting the petition on 03.07.2024. The two years since have been fought at every level. The suspended director appealed to the NCLAT, which dismissed him, and to the Supreme Court, which dismissed him again on 21-11-2025. IBBI now holds THREE appellate orders against this CIN and only one NCLT order. The resolution professional had to go to the Tribunal to get possession of the hotel from the former promoters. The professional himself changed: Navneet Gupta as IRP and then RP, now Krishan Vrind Jain. Eight versions of the list of creditors have been filed in twenty-three months. And through all of it the hotel has kept trading -- the only company in this batch that can show a turnover series: Rs 21.43 crore in FY 2023-24 audited, Rs 21.69 crore in FY 2024-25 audited, Rs 22.36 crore in FY 2025-26 provisional, rising each year, with 77 of 114 rooms open and 166 permanent employees. A buyer here is not being offered a shell or a plot; it is being offered a business with staff on the payroll, against a debt of Rs 1,820 crore that one creditor controls outright.