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2020 (3) TMI 1315 - AT - Insolvency and BankruptcyMemorandum of understanding - 9Seeking withdrawal of application filed under section 9 of the Insolvency and Bankruptcy Code, 2016 (IBC) - appellant states that the settlement has been arrived at with the consent of other directors and the corporate debtor will honour all the cheques issued and will ensure that the payments due to the IRP are also promptly made - HELD THAT:- The appellant and respondent No. 1 admit the contents of the memorandum of understanding and the same are taken on record. The parties would be bound by the contents of this memorandum of understanding. Keeping in view paragraph 79 of the judgment in the matter of SWISS RIBBONS PVT. LTD. AND ANR. VERSUS UNION OF INDIA AND ORS. [2019 (1) TMI 1508 - SUPREME COURT], exercising powers under rule 11 of the National Company Law Appellate Tribunal Rules, 2016, we accept the memorandum of understanding and we allow the appeal and set aside the impugned order dated February 26, 2020. Respondent No. 1, original operational creditor is permitted to withdraw the application which was filed under section 9 of the IBC. The actions taken by the IRP/RP in consequence of the impugned order are quashed and set aside - The corporate debtor is released from the rigour of law and is allowed to function independently through its board of directors - The IRP/RP will hand back the records and management of the affairs of corporate debtor, to the board of directors. Appeal allowed.
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