9911796707
|
Home
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (1) TMI 1776 - Tri - Insolvency and BankruptcyLiquidation of Corporate Debtor - section 33 of IBC, 2016 - HELD THAT - This Adjudicating Authority in exercise of powers conferred under Section 33 of the I B Code, 2016, proceed to pass the following order (i) We order for liquidation of the Corporate Debtor viz., M/s. Antony Projects Private Limited, which shall be conducted in the manner as laid down in Chapter III of part II of the I B Code, 2016; (ii) This Tribunal, as recommended by the CoC, appoints Mrs. Aruna Ramachandran as Liquidator, who shall issue a public announcement stating therein that the Corporate Debtor is in liquidation as recommended by the Committee of Creditors; (iii) The moratorium declared under Section 14 of the I B Code, 2016, shall cease to have effect from the date of this order of liquidation; (iv) Copy of this Order shall be sent to the Registrar of Companies, RD, OL and the Registered Office of the Corporate Debtor. Application allowed.
Issues: Liquidation of Corporate Debtor
Issue 1: Appointment of Resolution Professional The Tribunal received a Miscellaneous Application from the Resolution Professional (RP) for a company under Corporate Insolvency Resolution Process (CIRP). The RP was appointed based on recommendations from the Insolvency and Bankruptcy Board of India (IBBI) and subsequent approval by the Tribunal. The RP sought an extension of the moratorium period and constituted the Committee of Creditors (CoC) in compliance with the Insolvency and Bankruptcy Code, 2016. Issue 2: Valuation of Assets and Resolution Process The RP appointed government-approved valuers to assess the value of unsold assets of the Corporate Debtor, including apartments in a specific project. Despite advertising for expression of interest and resolution plans, no viable proposals were received. The CoC unanimously agreed that liquidation was the only viable option due to the lack of infrastructure and resources necessary for revival. Issue 3: Recommendation for Liquidation Considering the circumstances and the CoC's decision, the RP recommended the liquidation of the Corporate Debtor. The Tribunal, exercising powers under Section 33 of the I&B Code, 2016, ordered the liquidation process to commence. Mrs. Aruna Ramachandran was appointed as the Liquidator, and the moratorium was lifted. The order specified the cessation of powers of the Board of Directors and other key personnel, transferring them to the Liquidator. Issue 4: Liquidation Process and Reporting The Liquidator was tasked with managing the affairs of the Corporate Debtor, charging fees proportionate to the liquidation estate assets. The Liquidator was required to submit progress reports periodically as per the regulations. The Tribunal directed full cooperation from the Corporate Debtor's personnel to the Liquidator for a smooth liquidation process. In conclusion, the Tribunal approved the liquidation of the Corporate Debtor based on the RP's recommendation and the CoC's decision, appointing a Liquidator to oversee the process in accordance with the I&B Code, 2016.
|
