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2022 (9) TMI 1071

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..... er had not raised any claim when the Interim Resolution Professional made an advertisement to raise such claims under Section 15 of the Insolvency and Bankruptcy Code, 2016. The same would amount to violation of the principle of natural justice. - WP(C) No.15537 of 2016 WP(C) No.15538 of 2016 WP(C) No.15681 of 2016 WP(C) No.15682 of 2016 WP(C) No.15683 of 2016 WP(C) No.15684 of 2016 WP(C) No.15685 of 2016 WP(C) No.15686 of 2016 WP(C) No.15687 of 2016 WP(C) No.15688 of 2016 - - - Dated:- 22-9-2022 - HON BLE JUSTICE S. PUJAHARI WP(C) No.15537 of 2016 WP(C) No.15538 of 2016 WP(C) No.15681 of 2016 WP(C) No.15682 of 2016 WP(C) No.15683 of 2016 WP(C) No.15684 of 2016 WP(C) No.15685 of 2016 WP(C) No.15686 of 2016 WP(C) No.15687 of 2016 WP(C) No.15688 of 2016 WP(C) No.15707 of 2016 WP(C) No.15708 of 2016 WP(C) No.15709 of 2016 WP(C) No.15710 of 2016 WP(C) No.15765 of 2016 WP(C) No.15766 of 2016 WP(C) No.15767 of 2016 WP(C) No.15768 of 2016 WP(C) No.15824 of 2016 WP(C) No.15825 of 2016 WP(C) No.15826 of 2016 WP(C) No.15827 of 2016 WP(C) No.16012 of 2016 WP(C) No.16015 of 2016 WP(C) No.16017 of 2016 WP(C) No.16019 of 2016 WP(C) No.16020 of 2016 WP(C) No.16072 of 2016 WP(C) No.16074 .....

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..... of raw materials and finished products. The vehicles of the Petitioner were registered under the Opposite Party. From the date of purchase of the vehicles till the recession, the Petitioner-Company was clearing the tax. Since the Petitioner-Company could not pay the tax from 01.04.2013 to 30.09.2016, Opposite Party without giving any opportunity of hearing to the Petitioner seized the vehicles from the possession of the drivers of the Petitioner-Company as such the Petitioner-Company has approached this Court for quashing the Vehicle Checking Report in all the writ petitions and release the vehicles in favour of the Petitioner-Company. 5. It appears that pursuant to the interim order vehicles have been released in favour of the Petitioner subject to payment of admitted tax dues in three monthly instalments payable by the Petitioner. However, after the proceeding under SICA was closed due to repeal of the Sick Industrial Companies Act and the enactment of the Insolvency and Bankruptcy Code, 2016 from 20th May, 2016, an additional affidavit on 26.07.2021 has been filed by the Petitioner with the plea that on account of default on the part of the Petitioner in paying the debts, on .....

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..... a part of resolution plan, shall stand extinguished and no person will be entitled to initiate or continue any proceedings in respect to a claim, which is not part of the resolution plan. 102.2 The 2019 Amendment to Section 31 of the I B Code is clarificatory and declaratory in nature and therefore will be effective from the date on which I B Code has come into effect. 102.3 Consequently all the dues including the statutory dues owed to the Central Government, any State Government or any local authority, if not part of the resolution plan, shall stand extinguished and no proceedings in respect of such dues for the period prior to the date on which the adjudicating authority grants its approval under Section 31 could be continued. 7. The same view has been reiterated in the case of M/s. Ruchi Soya Industries Ltd. vrs. Union of India others reported in 2022- Live Law (SC) 207. 8. Furthermore, it is submitted that if in the writ petition the nature of relief has become obsolete and in view of the subsequent development a new form of relief will be more efficacious, this Court in exercise of the writ jurisdiction under Article 226 of the Constitution of India c .....

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..... aforesaid fact was not in existence. But later on the proceeding having been initiated in the year 2017, the Petitioner could have very well amended his prayer that the claim of one of the financial creditors is subject to NCLT proceeding and as such the claim of the Opposite Party if any is required to be adjudicated in the NCLT proceeding there. Furthermore, even after approval of the Resolution Plan the Petitioner has also not amended the writ petition simply he has brought to the notice of the Court the subsequent development. From the Resolution Plan at Annexure-7 at Page 7 to 215 approved by the adjudicating authority it has also been clearly mentioned in Clause-E2/2, E/2/3, Clause 7.1.1 and 7.1.2 that the SML has outstanding statutory liabilities of around Rs.37.86 crores as on 31.3.2017 and it has also various litigation initiated by the financial/operational creditors as detailed in the plan. In addition to the regular operation creditors the SML has also certain old operational creditors whose outstanding amount payable as on 31.3.2017 stood at 36.49 crores. So also as per the Resolution Plan, the liquidation value payable to the operational credit is Nil. The total old .....

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..... ite Party has not been given any opportunity to counter the factual aspect by filing a counter as pleaded in the additional affidavit, this Court, therefore, should be loath in granting such relief to the Petitioner in these writ petitions, submits the learned Standing Counsel for the Opposite Party-Transport. 12. After hearing the learned counsel for the parties and going through the materials on record particularly the pleading, admittedly the Petitioner has not amended the prayer in the writ petitions nor incorporated the aforesaid facts by way of an amendment. But by fling an additional affidavit, drawing the notice of the Court to the subsequent development in the NCLT i.e. the finalization of the Resolution Plan approved by the NCLT and also the law laid down as quoted supra, he has sought for the relief. Since the Petitioner has not incorporated the aforesaid plea in the writ petitions nor he has amended the prayer, allowing such prayer of the Petitioner would amount to take the Opposite Party by surprise that too without giving any opportunity to rebut such factual aspect that the Petitioner had not raised any claim when the Interim Resolution Professional made an advert .....

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