Home Case Index All Cases Companies Law Companies Law + Tri Companies Law - 2019 (7) TMI Tri This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (7) TMI 1710 - Tri - Companies LawExtension of CIRP period - exclusion of days from the CIRP period - HELD THAT:- It is not in dispute that in this case Corporate Debtor was admitted in CIRP by Order dated 06.07.2017. The appeal against that Order was pending in between 13.07.2017 to 8.01.2019 i.e. for period of 530 days approximately. Ld. Adjudicating Authority at Kolkata the Order dated 04.03.2019 excluded 45 days but did not assign any specific reason as to why only period of 45 days allowed to exclude. It could be because of expeditiously disposal of this case which was pending more than two years. Whether further period of 30 days can be excluded from counting total period of 270 days? - HELD THAT:- It is not in dispute that the Corporate Debtor is ongoing concerned and Profit-Making Company. While strictly adhering time limited stated under Section 12 of IBC for completing CIRP period, this Adjudicating Authority also cannot lose sight of the object of Insolvency and Bankruptcy Code to preserve assets of the Corporate Debtor from going in Liquidation. As far as possible Adjudicating Authority and all Stakeholders are required to make efforts to resolve the insolvency of the Corporate Debtor first and if not, then to pass order of liquidation. No prejudice will be caused against to anyone if further period of 30 days is allowed to exclude in counting total period of 270 days. The Corporate Debtor is ongoing and Profit Making Company. Numbers of Employees and Workmen are still working there. The matter was pending at Appellate stage more than 500 days. Although, there was no stay to the proceeding but it was always a matter concern of all stakeholders to as what will be outcome of the appeal and hence, they did not proceed with CIRP effectively. It is submitted that the members of CoC have received eighteen Resolutions Plans. So, in order to save the Corporate Debtor from going into Liquidation, this application filed by CoC is allowed by permitting them to exclude period of 30 days more from counting total period of 270 days. Members of CoC are directed to complete Corporate Insolvency Resolution Process of the Corporate Debtor within 30 days from today by accepting/rejecting the Resolution Plans those they have received - application allowed.
|