Kalahridhaan Trendz Limited CIRP admits ₹65.67 crore claims

Kalahridhaan Trendz Limited entered the corporate insolvency resolution process after an NCLT order over a default exceeding ₹3.26 crore, and ₹65.67 crore of secured and unsecured financial claims had been admitted by 4 September 2026. The process has transferred board powers to an interim resolution professional and placed creditors at the centre of key decisions.

Why did Kalahridhaan Trendz enter the insolvency process?

Kalahridhaan Trendz entered the Corporate Insolvency Resolution Process, or CIRP, after the Ahmedabad Bench of the National Company Law Tribunal admitted a Section 7 petition on 14 August 2026. Kushal Finnovation Capital Private Limited filed the petition, citing a financial default of more than ₹3.26 crore.

The tribunal found that the debt was due and payable, that the default exceeded the threshold prescribed under the Insolvency and Bankruptcy Code, 2016, and that the petition was filed within limitation. These findings resulted in the company’s admission into CIRP, a framework designed to address a corporate debtor’s financial distress through a creditor-led resolution process.

A public announcement of the CIRP was made on 17 August 2026. Creditors were asked to submit their claims by 28 August 2026, beginning the formal claim collation and verification stage.

Who is managing Kalahridhaan Trendz during CIRP?

Chirag Rajendrakumar Shah was appointed as the Interim Resolution Professional, or IRP, when the NCLT admitted the case. The IRP is responsible for handling the interim stage of the insolvency process, including receiving claims and taking steps connected with the company’s assets and records.

The NCLT order suspended the powers of Kalahridhaan Trendz’s Board of Directors. Those powers are vested in the IRP during CIRP, meaning the company’s management is no longer controlled by its board through the normal corporate governance structure.

A moratorium under Section 14 of the IBC also took effect with the admission order. The moratorium covers legal proceedings, enforcement of security interests and disposal of company assets, subject to the provisions of the insolvency law. It is intended to preserve the company while creditors consider the resolution process.

What claims and creditor voting shares have been disclosed?

The IRP constituted the Committee of Creditors, or CoC, according to an update dated 4 September 2026. The update stated that ₹65.67 crore of secured and unsecured financial claims had been admitted, marking progress beyond the initial NCLT admission and public-announcement stages.

State Bank of India held a 58.20% voting share in the CoC, while ICICI Bank held an 18.84% voting share, based on the same disclosure. These voting shares are significant because the CoC is the body that considers key decisions in the CIRP, including matters connected with the resolution process.

The process was not complete at that point. A further ₹11.92 crore of unsecured financial claims and ₹14.04 crore of operational claims were stated to be under verification. Their verification status means these amounts were not included in the disclosed ₹65.67 crore of admitted financial claims.

What actions have been taken after the CoC was formed?

Kalahridhaan Trendz invited expressions of interest for resolution plans on 13 October 2026. The stated deadline for submitting an expression of interest was 28 October 2026. The CoC had approved the Form G expression-of-interest document, eligibility criteria, evaluation matrix and multiple advocate appointments on 5 October 2026.

The invitation for resolution plans is a formal step in the CIRP framework. It indicates that the process had moved from the early claim-verification phase towards seeking potential applicants for a resolution of the company.

On 24 October 2026, Kalahridhaan Trendz filed an NCLT application against Shreeji Texfab and Gajanand Textile concerning machinery rent and asset possession. The disclosed information does not state an outcome of that application.

Separately, a SEBI notice of demand dated 29 October 2026 was issued under Recovery Certificate No. 9308 of 2026 against Niranjan D Agarwal in the matter of Kalahridhaan Trendz. The available information does not provide the demand amount, the basis of the recovery action or its outcome.

How does the CIRP affect creditors and investors?

The CIRP puts creditors in a central role through the CoC, while the IRP manages the company during the interim stage. The admitted ₹65.67 crore of financial claims and the disclosed voting shares provide the clearest available picture of creditor participation as of 4 September 2026.

For investors and other stakeholders, the available disclosures establish that board powers are suspended, a statutory moratorium is in place, and resolution plans have been invited. However, they do not disclose a selected resolution applicant, an approved resolution plan, or the final treatment of claims still under verification.

The estimated completion date is 10 February 2027, subject to continuing NCLT proceedings and resolution efforts. The completion timeline therefore remains dependent on the progress of claims, CoC decisions, resolution-plan evaluation and tribunal processes.

Conclusion

Kalahridhaan Trendz’s admission into CIRP followed an NCLT finding of a default exceeding ₹3.26 crore. Since then, ₹65.67 crore of financial claims have been admitted, the CoC has been formed with State Bank of India and ICICI Bank holding the largest disclosed voting shares, and the company has sought expressions of interest from prospective resolution applicants.

The next disclosed point to watch is the progress after the 28 October 2026 expression-of-interest deadline, alongside claim verification, the NCLT application relating to machinery and asset possession, and the CIRP’s estimated completion date of 10 February 2027.