The National Company Law Tribunal (NCLT) recently concluded hearing an insolvency plea against B9 Beverages Limited (Bira) by a company called Devyani International over alleged unpaid dues of ₹ 1.09 crore..A coram of Judicial Member B Venkat Balram Das and Technical Member Atul Chaturvedi listed the matter for compliance on March 7..Devyani International, a listed company, runs quick service restaurants (QSRs) such as KFC and Pizza Hut across India. The dispute traces back to October 1, 2021, when B9 Beverages Limited approached Devyani International to enhance its business presence and market growth. Following negotiations, the parties entered into several agreements, including:Brand alliance agreement – Aimed at brand enhancement and market growth.Two supply agreements – For the supply of products at various locations, including Ile Bar at Lucknow’s CCS Airport and Indira Gandhi International Airport, New Delhi.Supply agreements with sister concerns – Agreements with Devyani Food Spirit Private Limited (DFSPL) and Devyani Airport Services Mumbai Private Limited (DASMPL) for product supply at multiple airport locations.On March 14, 2023, an addendum to the brand alliance agreement and the supply agreement with DFSPL was executed. However, it has been alleged that despite Devyani fulfilling its obligations, B9 failed to make timely payments against the invoices raised..The plea alleged that as per the agreements, B9 was obligated to make payments within 10 days from the end of each quarter. However, the company defaulted on payments starting from the first quarter of the financial year 2023-2024. Despite multiple reminders and follow-ups, no payments were released against the invoices raised from June 29, 2023, onwards.This prompted Devyani to send a notice to B9 under Section 8 of the Insolvency and Bankruptcy Code (IBC, 2016). The plea alleged that B9 responded with a frivolous reply on September 27, 2024, failing to address the dues. On this ground, Devyani moved to initiate the corporate insolvency resolution process (CIRP) against B9..Devyani International was represented by Advocates Satish Rai, Abhay Gupta, Lakshay Aggarwal and Yogesh Khandiya from SR Legal.B9 was represented by Advocates Divjyot Singh and Nipun Dwivedi..[Read Order]
The National Company Law Tribunal (NCLT) recently concluded hearing an insolvency plea against B9 Beverages Limited (Bira) by a company called Devyani International over alleged unpaid dues of ₹ 1.09 crore..A coram of Judicial Member B Venkat Balram Das and Technical Member Atul Chaturvedi listed the matter for compliance on March 7..Devyani International, a listed company, runs quick service restaurants (QSRs) such as KFC and Pizza Hut across India. The dispute traces back to October 1, 2021, when B9 Beverages Limited approached Devyani International to enhance its business presence and market growth. Following negotiations, the parties entered into several agreements, including:Brand alliance agreement – Aimed at brand enhancement and market growth.Two supply agreements – For the supply of products at various locations, including Ile Bar at Lucknow’s CCS Airport and Indira Gandhi International Airport, New Delhi.Supply agreements with sister concerns – Agreements with Devyani Food Spirit Private Limited (DFSPL) and Devyani Airport Services Mumbai Private Limited (DASMPL) for product supply at multiple airport locations.On March 14, 2023, an addendum to the brand alliance agreement and the supply agreement with DFSPL was executed. However, it has been alleged that despite Devyani fulfilling its obligations, B9 failed to make timely payments against the invoices raised..The plea alleged that as per the agreements, B9 was obligated to make payments within 10 days from the end of each quarter. However, the company defaulted on payments starting from the first quarter of the financial year 2023-2024. Despite multiple reminders and follow-ups, no payments were released against the invoices raised from June 29, 2023, onwards.This prompted Devyani to send a notice to B9 under Section 8 of the Insolvency and Bankruptcy Code (IBC, 2016). The plea alleged that B9 responded with a frivolous reply on September 27, 2024, failing to address the dues. On this ground, Devyani moved to initiate the corporate insolvency resolution process (CIRP) against B9..Devyani International was represented by Advocates Satish Rai, Abhay Gupta, Lakshay Aggarwal and Yogesh Khandiya from SR Legal.B9 was represented by Advocates Divjyot Singh and Nipun Dwivedi..[Read Order]
