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2020 (1) TMI 1479 - AT - Insolvency and BankruptcyCIRP initiated - ‘Committee of Creditors’ was not constituted - ‘Corporate Debtor’ has issued ‘Work Order’ and ‘Work Completion Certificate’ and parties were allowed to settle the matter - Rule 11 of the NCLAT Rules, 2016 - HELD THAT:- A Settlement Agreement dated 18th January, 2020 has been produced to suggest that M/s Translite Scaffolding Limited has reached ‘Terms of Settlement’ with one of the Directors of the ‘Corporate Debtor’. So, three more documents relating to settlement has been placed before us. The total fee payable to the ‘Interim Resolution Professional’ is assessed at ₹ 2,00,000/-, which he is entitled to receive in addition to ₹ 1,25,000/- already incurred towards cost, i.e., total ₹ 3,25,000/-. The ‘Operational Creditor’, who initiated the proceedings has already paid a sum of ₹ 1,00,000/- to the ‘Interim Resolution Professional’, which will be adjusted against his fee. The rest of the amount of ₹ 2,25,000/- is payable, which the Appellant agrees to pay. The learned Counsel for the Appellant submits that he has come with a cheque of ₹ 1,00,000/- and the rest amount, if allowed, will be paid within fifteen days. The Promoters have settled the claim of all the 11 Claimants and the ‘Committee of Creditors’ has not been constituted - in exercise of powers conferred by Rule 11 of the NCLAT Rules, 2016, the impugned order dated 20th September, 2019 is set aside and the application under Section 9 of the I&B code preferred by M/s Aanav Construction Co. is disposed off as withdrawn. The Appellant is directed to comply with the ‘Terms and Conditions’ as reached with the parties pursuant to settlement. If amount is not paid, it will be open to the parties to move before this Appellate Tribunal for revival of the ‘Corporate Insolvency Resolution Process’/ initiation of contempt proceedings - appeal allowed.
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