Home Case Index All Cases Insolvency and Bankruptcy Insolvency and Bankruptcy + Tri Insolvency and Bankruptcy - 2020 (7) TMI Tri This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2020 (7) TMI 776 - Tri - Insolvency and BankruptcyPrayer to appoint new Interim Resolution Professional - no consensus regarding appointment of IRP - secured Financial Creditors has proposed the name of Mr. Sanjay Gupta as the new IRP of the Corporate Debtor to which the Respondent i.e. IRP as well as some of the Financial Creditors did not agree - HELD THAT:- When there is a conflict and no consensus is reached by the majority of voting share to appoint the IRP/RP so proposed by the Applicant, it is expedient to appoint an independent IRP/RP to break any kind of stalemate between the Financial Creditors. Moreover, the very object of IB Code is to complete the CIRP in the time bound manner and if the dispute with regard to the IRP will continue, in that event, the very object of the IB Code will get frustrated. The IB Code prescribes timelines for various activities of the CIRP. It is mandatory to complete a CIRP within 180 days, extendable by a one-time extension of up to 90 days. Though as per Section 7 of the IB Code, the Financial Creditor has the prerogative to propose the name of the IRP/RP and thereafter, they may change it by filing an application under Section 22 of the IB Code - However, to resolve this issue and to end the stalemate between the secured and unsecured Financial Creditors, this Bench in exercise of power under Rule 11 of the NCLT Rules 2016, do hereby appoint Mr. Kiran Shah as the new IRP/RP and direct him to convene the CoC meeting and complete the CIRP as early as possible. Application disposed off.
|