NCLT Bengaluru Dissolves Sezzle Payments After Completion Of Voluntary Liquidation

The National Company Law Tribunal at Bengaluru on Friday ordered the dissolution of Sezzle Payments Private Limited following completion of its voluntary liquidation process under Section 59 of the Insolvency and Bankruptcy Code, 2016.

A coram of Judicial Member Sunil Kumar Aggarwal and Technical Member Radhakrishna Sreepada held:

“On examination of the submissions and documents filed with the Petition, it is apparent that the affairs of the Petitioner have been completely wound up and its assets have been entirely liquidated and as such the Applicant Company deserves to be dissolved. Accordingly, in exercise of the powers conferred under Section 59 of IBC, 2016, M/S. SEZZLE PAYMENTS PRIVATE LIMITED, is hereby dissolved”

Sezzle Payments' Board of Directors resolved to commence voluntary liquidation and executed the requisite declaration under Section 59(3) of the IBC.

Thereafter, the shareholders, at an Extraordinary General Meeting held on December 7, 2023, approved the voluntary liquidation through a special resolution and appointed Insolvency Professional Shivaganga Muralidhar Pramod as the Liquidator.

During the proceedings, the Registrar of Companies submitted a status report stating that no enquiry, inspection, complaint or legal action was pending against the company.

However, the Income Tax Department informed the Tribunal that an outstanding TDS demand of ₹53,300 pertaining to the financial year 2021–22 remained against the company.

After considering the submissions and documents placed on record, the Tribunal ordered the dissolution of Sezzle Payments Private Limited.

It directed the company's directors to furnish an affidavit undertaking to discharge any legal liability that may arise against the company in the future.

The Liquidator was also instructed to notify the Income Tax and GST Departments about the dissolution and surrender the company's PAN and GSTIN to the respective authorities.

For Petitioner: Prampd SM

For IT: Advocate Ganesh Ghale