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2018 (9) TMI 2103 - Tri - Insolvency and BankruptcyExtension of time period of Corporate Insolvency Resolution Process in respect of the corporate debtor by a further period of 90 days w.e.f. 02.10.2018 - Section 12(2) of IBC - HELD THAT:- Section 25 (2) (h) added on 23.11.2017 by way of amendment does not contemplate floating of any expression of interest. It is beyond our understanding as to how the IBBI has taken upon itself the task of framing Regulation 36A of IBBI (Insolvency Resolution Process for Corporate Persons), Regulations, 2016 using the expression ‘invitation of expression of interest’ along with Form ‘G’. Such an assumption of power would be beyond the competence of IBBI as the source of power to frame Regulation under the IBC is drawn from Section 240 of IBC, 2016. Section 240(1) in categorical terms provides that the IBBI may by notification make regulation consistent with the Insolvency and Bankruptcy Code, and further subject to the Rules framed by the Government under Section 239 of IBC, 2016 for carrying out the provisions of the Code. In the present case on 04.06.2018 ‘expression of interest’ was invited and last date for expressing interest to submit the resolution plan was 18.06.2018 without in fact inviting any resolution plan. Such a course is negation of the salient features highlighted by Supreme Court that the speed is essence of the IBC, 2016, therefore, we have no other option except to declare Regulation 36A as ultra-vires of Section 240(1) of IBC, 2016. The IBBI is directed to frame Regulation according to its competence and the source of power as given to it by the Code. The period is extended by 90 days which shall now to come to an end on 31.12.2019 - application disposed off.
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