2019 (10) TMI 1346 - NATIONAL COMPANY LAW TRIBUNAL , HYDERABAD BENCH - Insolvency & Bankruptcy

Head Note / Extract:
Provisional attachment of the bank accounts - Section 83 of CGST Act, 2017 - It is the case of applicant that the applicant is hard pressed to meet the operational costs of the applicant during the CIRP process and thus continued existence of the Applicant itself is in danger, which is in violation of the going concern objective of the IBC - HELD THAT:- It is settled that under section 18(f)(ii) of the Code, IRP is duty bound to take control of corporate debtors assets (which are under its ownership), and section 238 of the code provides for over-ridding effect over provisions of any other law in force as also the case laws cited/relied upon by the Applicant, further considering the fact that R-2 has already filed its claim as operational creditor with the IRP in respect of GST dues relating to pre CIRP period. It is just and equitable and in the interest of smooth completion of CIRP that the Bank Accounts frozen by R.2 are defreezed with immediate effect along with other prayers in the present IA. IA(No. 488 of 2019) is accordingly allowed with respect to its prayer clause(1) and (2). As regards deposit of post-CIRP period GST dues, R-2 shall make proper and adequate arrangement for receipt of the said dues form IRP to be adjusted only against the liability of the current post CIRP period. In case R-2 requires any clarification with respect to this order, he may approach this Forum for necessary directions. Application disposed off.