NCLT Ahmedabad Admits Insolvency Plea Against Evoq Remedies Over ₹1.95 Crore Unrefunded Advance

The Ahmedabad bench of the National Company Law Tribunal (NCLT) has admitted Harbhole Agrotech's insolvency petition against Evoq Remedies Limited over an alleged default in refunding Rs 1.95 crore paid in advance for the supply of FSG Castor Oil.

A bench of Judicial Member Shammi Khan and Technical Member Sanjeev Sharma found that the debt and default had been established. It also found that no pre-existing dispute had been shown on record.

"The documents on record indicate that an amount of Rs.1,95,00,000/- was paid by the Operational Creditor to the Corporate Debtor and receipt thereof was acknowledged by the Corporate Debtor. However, despite receipt of the aforesaid advance amount, the Corporate Debtor neither supplied the goods nor refunded the advance amount," the tribunal observed.

Harbhole placed an order with Evoq on April 25, 2025 for the supply of FSG Castor Oil worth Rs 2.14 crore. Evoq accepted the order on the same day.

Harbhole later paid Rs 1.95 crore in advance. The amount was paid in two installments of Rs 1.20 crore and Rs 75 lakh. Evoq acknowledged receipt of the money.

The tribunal noted that despite receiving the advance, Evoq neither supplied the goods nor refunded the amount. The date of default was stated as September 1, 2025.

Harbhole issued a legal notice in January 2026, followed by a demand notice under the Insolvency and Bankruptcy Code in March 2026. No reply or notice of dispute was brought on record.

The insolvency petition was filed on April 20, 2026. Documents placed before the tribunal included the purchase order, payment records, the demand notice, and supporting affidavits.

Notice of the petition was served on Evoq through email, dasti and postal modes. Despite service, the company did not appear before the tribunal or file a reply. It was therefore proceeded against ex parte.

"The demand notice under Section 8 of the Code was issued and served. No material has been placed on record showing existence of any dispute prior to issuance of the demand notice," the tribunal observed.

The bench also noted that the petition had been filed within the limitation period and that the amount claimed was above the threshold prescribed under the Code.

Finding that the requirements for admission had been met, the tribunal admitted Evoq into the Corporate Insolvency Resolution Process. It also imposed a moratorium and appointed Dipti Narayan Mundra as the Interim Resolution Professional.