9911796707
TMI Blog2021 (3) TMI 1270X X X X Extracts X X X X X X X X Extracts X X X X ..... s Limited was admitted on 02.02.2018 and Mr. Atul Kumar Kansal was appointed as Interim Resolution Professional. Subsequently, vide order dated 17.04.2018, IRP was replaced and Mr. Vikram Bajaj was appointed as Resolution Professional. 3. The facts of the case, briefly stated, are that Form G inviting Expression of Interest was published in the newspaper - Business Standard on 05.05.2018 and the same was republished on 07.08.2018. In pursuance of the said publication, RP received several EOI (s) but only one prospective Resolution Applicant-Maritime Trade Corporation (MTC) had submitted the resolution plan on 04.10.2018. Subsequently, in the 7th Meeting of COC held on 25.10.2018, the resolution plan submitted by MTC was discussed and it was decided that the same could not be taken forward as it had significant gaps and ambiguities (Annexure 1). 4. It is further submitted that the Resolution Applicant-MTC has filed an application bearing CA No. 603/2018 as the revised resolution plan was not put for voting and vide order dated 31.10.2019 (Annexure-2), certain directions were issued to RP to convene a meeting of COC and to place the revised resolution plan before the COC for consid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... liquidation. *33. (1) Where the Adjudicating Authority, - (a) before the expiry of the insolvency resolution process period or the maximum period permitted for completion of the corporate insolvency resolution process under section 12 or the fast track corporate insolvency resolution process under section 56, as the case may be, does not receive a resolution plan under sub-section (6) of section 30; or (b) rejects the resolution plan under section 31 for the non-compliance of the requirements specified therein, it shall- (i) pass an order requiring the corporate debtor to be liquidated in the manner as laid down in this Chapter; (ii) issue a public announcement stating that the corporate debtor is in liquidation; and (iii) require such order to be sent to the authority with which the corporate debtor is registered." 10. Prescribed period for filing application - In the present case, the application under Section 9 of the Insolvency and Bankruptcy Code, 2016 was admitted on 02.02.2018 and the present application is filed by the Resolution Professional on 25.08.2020. The period of 180 days would be completed on 30.10.2018. As per order dated 31.10.2019, RP has been direc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on to the value of liquidation estate assets as may be specified by the Board. Regulation 4 of Insolvency and Bankruptcy Board of India (Liquidation Process) Regulations, 2016 provide for Liquidator's fee. Regulation 4(2) thereof states that the Liquidator shall be entitled to such fee and in such manner as has been provided therein. 16. Pending applications, if any, and its effect - The learned authorized representative for applicant has stated that an Application bearing CA No. 1077/2020 dated 20.11.2019 seeking additional time for completion of CIRP with certain other reliefs is pending before this Tribunal. In the instant IA, the applicant also seeks liberty for withdrawal of CA No. 1077/2019 as Resolution Applicant has withdrawn its resolution plan. 17. In view of the satisfaction of the conditions provided under Section 33(1)(a) of the Code, the corporate debtor Best Foods Limited is directed to be liquidated in the manner as laid down in Chapter III of the Code. Some of the directions are noted as under:- (i) That as per Section 33(5) of the Code and subject to Section 52 of the Code, no suit or other legal proceedings shall be instituted against the corporate debtor; ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 16 seeking additional time period consumed in litigation. In view of the discussions as above, CA No. 1077/2019 is dismissed as withdrawn. 20. Accordingly, CA No. 1077/2019 is disposed of. IA No. 371/2020 21. This IA has been filed by Spring Infradev Limited under Section 60(5) of the IBC, 2016 read with Rule 11 of NCLT Rules, 2016 against the Resolution Professional for Best Foods Limited seeking the following reliefs:- "i. To set aside the decision/communication of the Resolution Professional (Respondent No. 1) dated 03.08.2020 and direct the Resolution Professional (Respondent No. 1) to consider the Expression of Interest for onward consideration of resolution plan to be submitted by the Applicant; ii. To direct the Resolution Professional (Respondent No. 1) to place the Expression of Interest for onward consideration of resolution plan to be submitted, before the Committee of Creditors (CoC) (Respondent No. 2); iii. To direct the Committee of Creditors (CoC) (Respondent No. 2) to consider the resolution plan to be submitted by the Applicant on its merits; iv. To stay the Liquidation Application till a final decision is taken by the Committee of Creditors (CoC) (Resp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ution Plan in the month of January, 2019 and sometime in the month of February, 2020 the Respondent No. 1 filed an Application seeking direction for consideration of its Resolution Plan. Admittedly the Respondent No. 1 has not submitted any Resolution Plan pursuant to the expression of interest issued by the RP. Thus, the Respondent No. 1 is not part of CIRP. The Respondent No. 1 has filed Application directly before the Adjudicating Authority. The Adjudicating Authority in the guise of maximization of the value of assets of the Corporate Debtor directed that the Respondent No. 1's Application and Resolution Plan be put up before the COC for consideration. There is no provision in the code or regulation which provides that while exercising the power under Section 31 of the I&B Code the Adjudicating Authority can direct the COC to consider the Resolution Plan of such person who has not been part of CIRP. Otherwise also if such procedure is adopted then the CIRP will be frustrated. Once the Resolution Plan has been opened and fundamentals and financials of the Plan and offer made therein were disclosed to all the participants including RP. Then anyone can enhance its offer before the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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