2023 (10) TMI 1095 - AT - Insolvency and Bankruptcy

Seeking condonation of delay of 3 days in preferring the Appeal - Condonation sought on the ground that the Impugned Order was passed on 11/04/2023 and the Applicant had tried to apply for the Order copy on the very same date, but was informed by the Registry that the same could be applied after the Order was uploaded - HELD THAT - From the Report sent by Deputy Registrar of NCLT, it is clear that the Order was uploaded on 19/04/2023 and that the Appellant had applied for the Certified Copy only on 04/05/2023, which was issued to the Counsel Mr. P. Gowthaman on the very same day. Therefore, even if we take into consideration, 45 days from the date of 19/04/2023, the time lapses on 02/06/2023 and this Appeal has been preferred on 06/06/2023, and is clearly barred by limitation. Further the Hon ble Supreme Court in the matter of National Spot Exchange Limited Vs. Anil Kohli, Resolution Professional for Dunar Foods Limited 2021 (9) TMI 1156 - SUPREME COURT held that as per the proviso to Section 61(2) of the Code, the Appellate Tribunal may allow an appeal to be filed after the expiry of the said period of 30 days if it is satisfied that there was sufficient cause for not filing the appeal, but such period shall not exceed 15 days. Therefore, the Appellate Tribunal has no jurisdiction at all to condone the delay exceeding 15 days from the period of 30 days, as contemplated under Section 61(2) of the IB Code. This Appeal is barred by limitation and is dismissed.

Summary

Issues involved:
The issues involved in the judgment are condonation of delay in filing the appeal and determining the limitation period for filing an appeal under the Insolvency and Bankruptcy Code, 2016.

Condonation of Delay:
The Appellant sought condonation of a 3-day delay in filing the appeal, citing difficulties in obtaining the certified copy of the Impugned Order. The Appellant's counsel argued that the delay in receiving the certified copy did not prejudice the litigant's right of appeal, as the appeal was filed within one month from the due date.

Limitation Period Interpretation:
The Respondent contended that the appeal, filed 33 days after the Impugned Order, was barred by limitation. Reference was made to the Supreme Court judgment in 'V. Nagarajan Vs. SKS Ispat Power Limited and Ors.' emphasizing the need for timely filing of appeals under the IBC. The Court highlighted the importance of due diligence by litigants in promptly obtaining certified copies of orders to avoid limitation issues.

Judicial Interpretation:
The Tribunal analyzed the 'V. Nagarajan' judgment and the 'National Spot Exchange Limited Vs. Anil Kohli' case to determine the limitation period for filing the appeal. It was emphasized that the Appellate Tribunal could not condone delays exceeding 15 days beyond the prescribed 30-day period for filing appeals under the IB Code. The Tribunal concluded that the appeal was clearly barred by limitation and dismissed it accordingly.

Conclusion:
The Tribunal dismissed the application for condonation of delay and the appeal itself, citing that the appeal was filed beyond the permissible limitation period. The decision was based on the principles outlined in relevant legal precedents and the specific provisions of the Insolvency and Bankruptcy Code, 2016.