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2021 (2) TMI 1179 - Tri - Insolvency and BankruptcySeeking directions pertaining to auction sale of assets for waiver of interest demanded on balance sale consideration - seeking direction to the Respondent not to treat non-payment of interest on the balance sale consideration by the Applicant as a default - seeking to refrain from disqualifying the Applicant as successful bidder - seeking to forfeit the earnest money deposit - HELD THAT:- It is apparent that there was a delay on the part of the Applicant to pay balance sale consideration but the issue to be decide in this case is whether the delay was solely on account of the Applicant and if yes, the Applicant has to pay interest for the delayed period @12 % P.A. as per regulation, auction notice. In the instant case the Applicant had sought a specific clarification from the Liquidator who has clarified as discussed in pre-para GIDC also taken time to arrive at the amount payable as sub division charges, surveys conducted on various occasions, issued provisional order to pay “concession charges” along with other conditions to be fulfilled etc. From the submissions it is noted that the Applicant never denied payment of balance sale consideration neither on account of incapable, financial difficulty, nor willful nonpayment but on the other hand because of the specific clarification issued by the Respondent, time taken by GIDC as discussed above and finally on account of COVID 19 situation and Regulation 47 A of IBBI Regulation etc. It is also noted that the Applicant had made payment of ₹ 1,57,46,696/- on 25.06.20202 towards interest under protest. The submissions of the Applicant is acceptable. The delay in payment of balance sale consideration cannot be attributed to the Applicant, successful bidder. The interest burden thus cannot be fastened on him. The Applicant is not liable to pay interest as claimed by the Respondent. Therefore, an amount of ₹ 1,57,46,696/- paid towards interest by the Applicant under protest is to be refunded/adjusted by the Liquidator within 30 days from the date of this order - Application allowed.
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