Astron Paper CIRP faces cooperation issue as RP approaches NCLT

Astron Paper & Board Mill Ltd entered Corporate Insolvency Resolution Process (CIRP) on May 11, 2026.

The Resolution Professional filed a Section 19(2) application before NCLT Ahmedabad on July 10, 2026, seeking directions against concerned personnel of the company.

Reader Takeaway: Resolution clarity may improve, but delays could impact stakeholder outcomes.

What just happened

Astron Paper & Board Mill Ltd disclosed that its Resolution Professional has approached the National Company Law Tribunal (NCLT), Ahmedabad Bench, under Section 19(2) of the Insolvency and Bankruptcy Code, 2016.

The application seeks directions requiring concerned personnel to provide assistance and cooperation needed for the Resolution Professional to perform duties under the insolvency framework.

Why this matters

During a CIRP, the Resolution Professional is responsible for managing the process, collecting information, preparing relevant documents and facilitating resolution plans under the Insolvency and Bankruptcy Code.

Access to company records and cooperation from existing personnel are important for assessing the corporate debtor’s position and enabling potential resolution applicants to evaluate the business.

The backstory

Astron Paper & Board Mill Ltd entered CIRP following an order passed by the NCLT on May 11, 2026.

Once insolvency proceedings begin, the management of the corporate debtor’s affairs shifts to the Resolution Professional, while existing management is required to extend cooperation as prescribed under the IBC.

What changes now

The outcome of the NCLT proceedings will determine the next steps in relation to the RP’s request for cooperation.

A favourable resolution of the issue could help the CIRP move forward, while continued delays may affect the timeline of the insolvency process.

Risks to watch

Investors and stakeholders will need to track further NCLT orders, compliance by concerned personnel and progress of the resolution process.

Any delay in obtaining operational, financial or legal information could create additional uncertainty around the eventual resolution outcome.

What to track next

The key developments will be future NCLT proceedings, progress of the CIRP and any disclosures related to resolution plans or stakeholder decisions.