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TMI Blog2019 (3) TMI 1651X X X X Extracts X X X X X X X X Extracts X X X X ..... lvency resolution process. 2. It is stated in the application that the applicant is the Resolution professional appointed to conduct the CIRP of the Corporate Debtor Enviiro Bulkk Handling Systems Pvt Ltd. It is further stated in the application that CP(IB) 1319/2017 was admitted by order of this Tribunal dated 4.12.2017, further by our order dated 18.6.2018, IRP was appointed for completion of CIRP within 180 days. Further 90 days period was extended by order of the Tribunal dated 19.12.2018. 3. It is stated in the application that during CIRP the 1st CoC meeting on 16.7.2018; 2nd CoC meeting on 10.8.2018; 3rd CoC meeting on 13.11.2018; 4th CoC meeting on 28.11.2018; 5th CoC meeting on 17.12.2018; 6th CoC meeting on 16.1.2019; 7th CoC me ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ay Order or Demand Draft or NEFT or RTGS. Further, that performance security shall be required to be paid instantly on approval of resolution plan by the CoC. The Committee further explained to the representative that as per sub-regulation (4A) of Regulation 36B, such performance security shall stand forfeited, if the resolution applicant of such plan, after its approval by the Adjudicating Authority, fails to implement or contributes to the failure of implementation of that plan in accordance with the terms of the plan and its implementation schedule. The Committee informed the Resolution Applicant that the resolution plan that was received was below the expectation of the CoC and also the average liquidation value and further that t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion 30(4) of the I&B Code. At best, the Adjudicating Authority (NCLT) may cause an enquiry into the "approved" resolution plan on limited grounds referred to in Section 30(2) read with Section 31(1) of the I&B Code. It cannot make any other inquiry nor is competent to issue any direction in relation to the exercise of commercial wisdom of the financial creditors - be it for approving, rejecting or abstaining, as the case may be. Even the inquiry before the Appellate Authority (NCLAT) is limited to the grounds under Section 61(3) of the I&B Code. It does not postulate jurisdiction to undertake scrutiny of the justness of the opinion expressed by financial creditors at the time of voting. To take any other view would enable even the minority ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... idator. It is stated in the minutes that "Resolved that in view of the present Resolution professional Mr. Vipul K. Choksi having conveyed his unwillingness to continue and act as a liquidator, Saraswat Bank's representative conveyed his no objection to Invent Assets Securitization and Reconstruction Pvt. Ltd. to decide and appoint some other Insolvency professional who can act as a Liquidator. Resolved Further That Invent Assets Securitization and Reconstruction Pvt. Ltd. shall short list and obtain the consent of the Insolvency professional so shortlisted, to act as a Liquidator and request the present Resolution professional to apply before the Adjudicating Authority, i.e. NCLT, Mumbai and obtain appropriate orders." 10. Ld. Counse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... al personnel and the partners of the Corporate Debtor shall cease to effect and shall be vested in the Liquidator. d. That the personnel of the Corporate Debtor shall extend all co-operation to the Liquidator as may be required by him in managing the affairs of the Corporate Debtor. e. That the Liquidator will charge fees for conduct of the liquidation proceedings in proportion to the value of the liquidation estate assets as specified under Regulation 4 of Insolvency and Bankruptcy (Liquidation Process) Regulations, 2016 and the same shall be paid to the Liquidator from the proceeds of the liquidation estate under Section 53 of the Code. f. Since this liquidation order has been passed, subject to Section 52 of the Code, no suit or ot ..... X X X X Extracts X X X X X X X X Extracts X X X X
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