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TMI Blog2019 (9) TMI 1426X X X X Extracts X X X X X X X X Extracts X X X X ..... in case the Company goes into the liquidation the fair value and liquidation value of the company would be taken into consideration by the liquidator under Regulation 35 of the Regulations and at that time the parties interested may consider the valuation and take steps for augmenting the liquidation value, if any. Application dismissed. - IA No. 8 of 2019, (AMR) TP (IB) No. 33/7/AMR/2019 and CP (IB) No. 47/7/HDB/2018 - - - Dated:- 17-9-2019 - Janab Mohammed Ajmal , Member ( J ) For the Appellant : Divya Datla , Advocate For the Respondents : Deepak Bhattacharjee , Advocate ORDER Janab Mohammed Ajmal, Member (J) 1. This Application is filed by one of the Directors and Shareholders of the Company under Corporat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 4. It is submitted in the petition that the promoters of the Company under CIRP should have access to the valuation reports and other relevant documents. Therefore, the documents related to the liquidation value and the fair value of the Company are crucial to assess the debt value that in turn may adversely affect the guarantors, of whom the applicant is one. The liquidation process may scale down certain debts leaving guarantors like the applicant exposed to the whole of the debt. Therefore, if the information is not shared with the applicant, he would not be in a position to know the propriety of the valuation arrived at and if the said report is in terms of the guidelines prescribed in the Code. The Applicant being aware of the val ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uidation value and shall not use such values to cause an undue gain or undue loss to itself or any other person and comply with the requirements under sub-section (2) of Section 29. (3) The resolution professional and registered valuers shall maintain confidentiality of the fair value and the liquidation value. 8. From the above it is clear that confidentiality of the fair and liquidation value of the assets of the Corporate Debtor (CD) is of paramount importance. 9. The Hon'ble Supreme Court in Vijay Kumar Jain (supra) have held that Regulation 35 makes it clear that the Resolution Professional shall provide the fair valuation and liquidation value to every member of the Committee only after receipt of the Resolution Pla ..... X X X X Extracts X X X X X X X X Extracts X X X X
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