NCLT approves resolution plan of Advaita Trading under IBC; total plan value Rs. 17,75,54,841
NCLT Mumbai Bench-I, by order dated September 24, 2026, approved the resolution plan submitted by Advaita Trading Private Limited for the company, which has been under CIRP since July 29, 2022.
By ScoutQuest · · 2 min read
- NCLT Approval Date
- September 24, 2026
- Total Resolution Plan Value
- Rs. 17,75,54,841
- Dissenting Secured Creditors Recovery
- Rs. 3,48,09,477.81 against Rs. 161,11,55,964.89 admitted (2.16%)
- Assenting Secured Creditors Recovery
- Rs. 8,29,76,305.47 against Rs. 219,07,51,814.18 admitted (3.45%)
- Performance Bank Guarantee
- Rs. 6,00,00,000
What happened
The National Company Law Tribunal, Mumbai Bench-I, pronounced an order dated September 24, 2026 under Section 31 of the Insolvency and Bankruptcy Code, 2016, approving the resolution plan submitted by Advaita Trading Private Limited, the Successful Resolution Applicant, for Zicom Electronic Security Systems Limited.
Background
- CIRP commenced by Tribunal order dated 29.07.2022 on a Section 7 petition by IDBI Bank.
- Three plans were received in the first round; the CoC found the offers below fair value and liquidation value and restarted the process with a fresh Form G.
- The plan of Advaita Trading was first approved by the CoC with a 75.46% voting share.
- By order dated 03.06.2025 the Tribunal sent the plan back to the CoC, observing non-compliance with Section 30(2) read with Regulation 38(3)(b) on valuation, feasibility and viability, and noting the applicant lacked expertise in the corporate debtor's field.
- The Resolution Professional was replaced; the CoC approved the change with a 76.83% voting share, and the new RP was appointed by order dated 04.09.2025.
- An exclusion of 742 days and successive CIRP extensions were granted.
- After reconsideration, the revised plan was again approved with 75.46% of voting share, and after the National Skill Development Corporation was inducted into the CoC, the plan with an addendum on NSDC's claim was approved with 75.46% voting share.
Financial proposal
- Total resolution plan value: Rs. 17,75,54,841.
- Dissenting secured financial creditors: claimed and admitted Rs. 161,11,55,964.89, realisable Rs. 3,48,09,477.81, i.e. 2.16%, within 30 days.
- Assenting secured financial creditors: admitted Rs. 219,07,51,814.18 (claimed Rs. 2,40,75,23,706), realisable Rs. 8,29,76,305.47, i.e. 3.45%, within 30 days.
- Unsecured financial creditors are shown with amounts including Rs. 74,98,25,158 and a realisable figure of Rs. 5,22,14,216, with recovery percentages of 0.00% and 0.70% shown for the respective categories, payable within 30 days.
- The Successful Resolution Applicant furnished a performance bank guarantee of Rs. 6,00,00,000 issued by YES Bank in favour of IDBI Bank on behalf of the CoC members, valid till 19th July, 2026.
About the company under CIRP
Incorporated on 01.12.1994, the company is engaged in electronic security solutions. Authorised share capital is Rs.50 crores divided into 5,00,00,000 equity shares of Rs.10 each; paid-up share capital is Rs.4,12,24,141.
Plan direction
As placed before the CoC, the plan contemplated diversification into surveillance and monitoring services, annual maintenance contracts and distribution-led security services, along with the appointment of an experienced professional management team. The Resolution Professional certified that the applicant does not attract disqualifications under Section 29A.
What shareholders may note
Recoveries proposed for financial creditors are a small fraction of admitted claims, which is a signal of the extent of erosion in the company's value. The treatment of existing equity in a resolution plan is determined by the plan and the Tribunal's order.
Also from Zicom Electronic Security Systems
Monitoring Committee constitution report shared with NCLT Mumbai Bench-I
24 Oct 2026
NCLT Order on Central Bank of India's Plea Over Resolution Plan Distribution; Plan Approved Under Section 31
25 Sep 2026
NCLT Approves Resolution Plan Submitted by Advaita Trading Private Limited
24 Sep 2026
More numbers
- Total resolution plan valueRs. 17,75,54,841/-
- Dissenting secured FC amount admitted161,11,55,964.89
- Dissenting secured FC realisable3,48,09,477.81
- Dissenting secured FC recovery %2.16%
- Assenting secured FC amount claimed2,40,75,23,706
- Assenting secured FC amount admitted219,07,51,814.18
- Assenting secured FC realisable8,29,76,305.47
- Assenting secured FC recovery %3.45%
- Unsecured FC amount claimed/admitted74,98,25,158
- CoC approval voting share75.46%
- Performance bank guaranteeRs. 6,00,00,000/-
- Paid-up share capital₹4,12,24,141/-
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