2023 (11) TMI 1298 - HC - IBC

Non-compliance of the Schedule Production/Reaching Peak Rated Capacity for financial Years 2020-21, 2021-22 and 2022-23 for the Nerad Malegaon Coal Mine which had been allotted to the Petitioner - HELD THAT - The writ petition is disposed of as withdrawn, along with pending application(s), if any. It is made clear that this Court has not made any observations on the merits of the case. This Order is not an indicator on the applicability of otherwise of Clause 25.4 which provides that existence of dispute does not affect right of Nominated Authority to appropriate Performance Security or terminate the agreement.

Summary

The petitioner sought to quash a decision by the Scrutiny Committee regarding non-compliance with production targets for a coal mine. The court advised the petitioner to withdraw the writ petition as premature, allowing them to refile if necessary. The bank guarantee will not be revoked until a decision is made by the Nominated Authority. The petitioner has four days to approach the court if the Authority upholds the Committee's decision. The Order does not indicate the applicability of Clause 25.4 regarding dispute resolution.