2024 (7) TMI 1584 - AT - Companies Law

Management of assets and the appointment of a Resolution Professional (RP) in the context of a Corporate Insolvency Resolution Process (CIRP) - HELD THAT - Issue notice in all the appeals. Let Reply be filed by the respondents within two weeks from today.

Summary

The judgment from the National Company Law Appellate Tribunal (NCLAT) addresses three appeals against an order dated 24.07.2024 from the National Company Law Tribunal (NCLT). The appeals concern the management of assets and the appointment of a Resolution Professional (RP) in the context of a Corporate Insolvency Resolution Process (CIRP).

1. Appeal No. 1477 of 2024: Filed by Devendra Singh, the former RP, who was ordered to be removed by the NCLT.

2. Appeal No. 1474 of 2024: Filed by Shomit Finance Ltd., claiming possession of a project prior to CIRP initiation. The NCLT held that the assets in question belong to the corporate debtor.

3. Appeal No. 1479 of 2024: Filed by the representative for Granite Gate Properties Pvt. Ltd., representing 3546 homebuyers in the Committee of Creditors (CoC). The locus of the respondent, a single homebuyer, is contested.

Key directives include:
- Notices issued for all appeals.
- Ashmeet Singh Bhatia to be added as a respondent in Appeal No. 1474 of 2024.
- Respondents must file replies within two weeks.
- The new RP, appointed by the impugned order, is restrained from proceeding until further notice.
- The CoC is granted liberty to convene and decide on a new RP, with an affidavit to be submitted in Appeal No. 1479 of 2024.
- The CoC may propose mechanisms for the corporate debtor's operations during this interim period.

The matter is scheduled for further hearing on 02.09.2024, with potential orders on 14.08.2024 if an application is filed in Appeal No. 1479 of 2024.