The National Company Law Tribunal delivered a body blow to the Alchemist Group’s machinations, revoking its Corporate Insolvency Resolution Process on February 3 following ED interventions. This exposes how corporate shells tried to weaponize IBC against money laundering laws.
Over years, Alchemist companies amassed ₹1,840 crore from gullible investors peddling phantom townships and high-yield schemes. Funds vanished into inter-company deposits, starving promised allotments and refunds.
ED’s relentless pursuit attached ₹492.72 crore and spawned prosecution filings from 2021-2025. The CIRP, filed by operational creditor Sai Tech under IBC Section 9, was hijacked: Group firms like Technology Parks (97% CoC votes), Alchemist Township, and Realty dominated—each a laundering suspect.
Evidence showed the ploy to free frozen assets under Section 32A, with ex-employee Gaurav Mishra as RP compromising neutrality. ED’s late invitation underscored malice.
NCLT validated ED’s stance, decrying IBC misuse to legitimize proceeds of crime and dilute PMLA. Exercising Section 65 powers, it nullified CIRP, ended the Section 14 stay, voided RP actions, and slapped ₹5 lakh on Sai Tech.
A pivotal judgment, it upholds IBC’s sanctity for true insolvencies while allowing PMLA to run unhindered. This protects stakeholders and fortifies India’s anti-corruption framework against abuse.