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TMI Blog2023 (2) TMI 1181X X X X Extracts X X X X X X X X Extracts X X X X ..... ies - HELD THAT:- The Resolution Applicant is directed to do so within one year from the date of this order, as prescribed under section 31(4) of the Code. This Adjudicating Authority has power to grant reliefs, waivers and concessions only in relation to the Code and the Companies Act 2013 (within the powers of the NCLT) for achieving the objective of the Code. No reliefs, waivers and concessions that fall within the domain of other government department/authorities are granted. The reliefs, waivers and concessions that pertain to other governmental authorities/departments shall be dealt with the respective competent authorities/forums/offices, Government or Semi Government of the State or Central Government with regard to the respective reliefs, waivers and concessions. The competent authorities including the Appellate authorities may consider grant such reliefs, waivers and concessions keeping in view the spirit of the Code. On the date of approval of resolution plan by the Adjudicating Authority, all such claims, which are not 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, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 26 February 2021 directed the IRP not to constitute the Committee of Creditors. After dismissal of the appeal on 29 November 2021, the Applicant verified the claims and constituted the Committee of Creditors ( CoC ) and the report on the consti 8. The CoC was constituted with sixteen Financial Creditors. A report of the constitution of the CoC, was filed before the Adjudicating Authority on 07 December 2021. 9. The Applicant states that a total of eleven CoC meetings have been held during CIRP period, as follows: Particulars Date of CoC meeting 1 st CoC Meeting 14.12.2021 2 nd CoC Meeting 20.01.2022 3 rd CoC Meeting 22.02.2022 4 th CoC Meeting 25.03.2022 5 th CoC Meeting 25.04.2022 6 th CoC Meeting 13.05.2022 7 th CoC meeting 21.06.2022 8 th CoC meeting 28.06.2022 9 th CoC Meeting 28.07.2022 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Resolution Applicants. 15. The last date for submission of Resolution Plan was 01 April 2022, which was extended till 21 April 2022. Evaluation and voting 16. The Resolution Plans were opened before the CoC in its 5th CoC meeting and the Resolution Plans were placed for discussion before the CoC in its 6 th CoC meeting and the CoC requested for further revision in the Resolution Plans. 17. In the 8 th CoC meeting, all the Resolution Applicants were called for negotiation and bidding. The Resolution Applicants submitted their revised Resolution Plans as discussed in the 8 th CoC meeting. 18. The Resolution Plans were put for e-voting on the 11 th CoC meeting held on 17 August 2022, the e-voting concluded on 24 September 2022. 19. The Resolution Plan submitted by Tega Industries Limited was approved with 99.787% voting share. The Resolution Professional issued the letter of Intent on 26 September 2022 1 . 20. In accordance with regulation 36B(4A) of the CIRP Regulations, the Successful Resolution Applicant submitted Performance Bank Guarantee of Rs.17.80Crore being 10% of the resolution amount issued by Axis Bank Ltd. vide no. 11640100016411 dated 3 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... olution Plan or any part thereof . Details on Management/Implementation and Reliefs as per the Resolution Plan Salient Features 27. The Resolution Plan also provides for a. Management of company after resolution in Clause 5 of Resolution Plan. b. Term of the resolution plan in Clause 4.2 of Resolution Plan. c. Implementation and Supervision of the resolution plan in Clause 5.2 of the Resolution Plan. Relinquishment/Waiver of liabilities and Approvals 28. The Reliefs, Exemptions and Waivers sought by the Resolution Applicant from the Adjudicating Authority are set out below for the successful implementation of the Resolution Plan. The orders thereon are indicated against each. Orders 29. On hearing the submissions made by the Resolution Professional, and perusing the record, we find that the Resolution Plan has been approved with 99.787% voting share. As per the CoC, the plan meets the requirement of being viable and feasible for revival of the Corporate Debtor. By and large, all the compliances have been done by the RP and the Resolution Applicant for mak ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... contracts and agreements. With respect to the waivers with regard to extinguishment of claims which arose Pre-CIRP and which have not been claimed are granted in terms of Ghanashyam Mishra and Sons Pvt Ltd v Edelweiss Asset Reconstruction Company Ltd , [2021 SCC OnLine SC 313 decided on 13.04.2021] wherein the Hon'ble Supreme Court has held that once a resolution plan is duly approved by the Adjudicating Authority under sub-section (1) of section 31, the claims as provided in the resolution plan shall stand frozen and will be binding on the Corporate Debtor and its employees, members, creditors, including the Central Govt, any State Govt or any local authority, guarantors and other stakeholders. We place reliance on the recent judgement of Hon ble High Court of Rajasthan in the matter of EMC v. State of Rajasthan wherein it has been inter-alia held that : Law is well-settled that with the finalization of insolvency resolution plan and the approval thereof by the NCLT, all dues of creditors, Corporate, Statutory and others stand extinguished and no demand can be raised for the period prior to the specified date. On the date of approval of resolution plan by th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... shall stand discharged from his duties with effect from the date of this Order, save and except the duties envisaged in the Resolution Plan. 44. The Resolution Professional is further directed to handover all records, premises/factories/documents to the Resolution Applicant to finalise the further line of action required for starting of the operation. The Resolution Applicant shall have access to all the records and premises of the corporate debtor through the Resolution Professional to finalise the further line of action required for starting of the operation. 45. I.A. (IB) No. 1214/KB/2022 in the main Company Petition, i.e ., C.P. (IB) No. 131/KB/2020 shall stand disposed of accordingly. 46. The Registry is directed to send e-mail copies of the order forthwith to all the parties for information and for taking necessary steps. 47. Certified copy of this order may be issued, if applied for, upon compliance of all requisite formalities. Order signed on the 24 th day of February 2023. Foot-Notes 1 Pp. 171-174 of the I.A. 2 Annexure L at Pp. 175-176 of the I.A. 3 Annexure N at Pp. 182-194 of the I.A. 4 Annexure G at Pp. 85-88 of the I.A. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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