V2 Retail, launched in 2001, has garnered success in the value retail segment with its offerings in menswear, womenswear and kidswear.
Now present in 13 states, the company registered revenue of US $ 105 million for the financial year ended March 2020.
The insolvency proceedings against V2 Retail have been closed by the National Company Law Tribunal after the operational creditors of the company settled payment-related disputes.
This move comes after an application filed by the Interim Resolution Professional of V2 Retail to withdraw the insolvency petition was allowed by a two-member bench of NCLT.
After thorough examination of the IRP’s application as well as the settlement between creditors and the business, NCLT ruled in favour of closing the proceedings, as reported by Press Trust of India.
The proceedings had started on 25 June, when NCLT admitted a plea by Totem Media Solutions against V2 Retail to initiative insolvency proceedings as it was in default of Rs. 86.61 lakh along with interest.
A statement released by the NCLT said, “Under such circumstances, we think it is proper to approve the settlement. Accordingly, we hereby allow the application of the IRP and the company petition stands dismissed as withdrawn and the order dated 25 June 2020, by the CIRP was ordered to be initiated in the present matter is hereby set aside.”
