NCLT approves Rs 3.45 crore resolution plan for Pune vehicle maker Tork Motors
The NCLT Mumbai bench approved a Rs 3.45 crore resolution plan for Tork Motors, against admitted claims of Rs 19.88 crore, with employees' arrears of Rs 4.69 crore set to receive Rs 75 lakh under the plan.
Key points
- The NCLT Mumbai bench on 6 November 2026 approved the resolution plan for Tork Motors Private Limited, a Pune vehicle maker.
- The plan is worth Rs 3.45 crore against admitted claims of Rs 19.88 crore; employees' arrears of Rs 4.69 crore get Rs 75 lakh.
- The buyer has undertaken to pay the EPFO's full admitted claim of Rs 53.03 lakh, the tribunal recorded; the order can be appealed to the NCLAT.
Photo: Benjamin Child bchild311 / Wikimedia Commons, CC0 1.0 (cropped). Representational image.
The National Company Law Tribunal (NCLT), Mumbai bench, on 6 November 2026 approved a Rs 3.45 crore resolution plan for Tork Motors Private Limited, a Pune company that made motor vehicles and their components. Creditors' admitted claims total Rs 19.88 crore, according to the order.
What Happened
The tribunal admitted the company into the corporate insolvency resolution process, the Insolvency and Bankruptcy Code procedure to find a buyer for a company in default, on 31 October 2025, on a petition by Unaprime Investment Advisors Private Limited, an operational creditor. The committee of creditors is made up of operational creditors such as suppliers, employees and government departments; the company had no financial creditors, the order shows.
Two bids were received. On 21 August 2026 the committee approved the plan of a consortium of Venkateshwara Buildtech Private Limited and an individual investor with 82.59% of the votes, and rejected the other bid. The registered valuers put the company's liquidation value at Rs 36.90 lakh.
The order shows 40 employees' claims, with Rs 5.10 crore admitted. The plan's payment table lists employees' arrears of Rs 4.69 crore, for which it proposes Rs 75 lakh. The tribunal questioned why the Employees' Provident Fund Organisation (EPFO) was to get only Rs 38.63 lakh of its admitted Rs 53.03 lakh claim. The buyer then undertook to pay the full Rs 53.03 lakh, including interest and damages, by deducting the difference proportionately from payments to other operational creditors, so the plan's total stays at Rs 3.45 crore.
What It Means
The plan took effect on the date of the order and binds the company, its employees, creditors and government authorities. The tribunal said no one can start or continue proceedings on a claim from before the approval that is not part of the plan. The moratorium, the legal freeze on recovery action, has ended, and the buyer takes over the company's records and premises.
Former employees and suppliers will be paid only what the plan provides. Any recovery from pending applications against preferential or fraudulent transactions will go to operational creditors, the order said. The NCLT's order can be appealed before the National Company Law Appellate Tribunal (NCLAT).
Source: NCLT order
Sources & Citations
- NCLT order — National Company Law Tribunal