Intimation of Initiation of Corporate Insolvency Resolution Process (CIRP) in respect of M/s. DHRUV WELLNESS LIMITED vide order of Honorable NCLT, Mumbai Bench Case No C.P. (IB) 286/MB/2024 ....
Awaiting price reaction for this filing.
The NCLT Mumbai Bench has admitted an insolvency petition filed by an operational creditor, Deepak Kalanand Jha, against Dhruv Wellness Limited, initiating the Corporate Insolvency Resolution Process (CIRP). The default of Rs. 4.09 crore relates to unpaid dues for goods supplied (FMCG, Ayurvedic, Cosmetic and General Products) between March and May 2019, where total supplies of Rs. 5.81 crore were only partly paid. The company had acknowledged the outstanding balance in 2020, 2021 and 2022, and even offered a Rs. 51 lakh settlement, but the creditor did not accept. An Interim Resolution Professional (Mr. Ashok Mittal) has been appointed, and a moratorium under Section 14 of the Insolvency and Bankruptcy Code is now in force.
This is a severely negative development for shareholders. A moratorium is in place, the existing board is suspended, and management now vests with the IRP. The stock is likely to see heavy selling pressure, and investors may face significant erosion in value depending on the resolution plan or potential liquidation.