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2019 (10) TMI 1045 - NATIONAL COMPANY LAW TRIBUNAL SPECIAL BENCH, CHENNAIValuation - determination of liquidation value - initiation of CIRP - It is the case of the Applicant Bank that it is one of the Financial Creditors of the Corporate Debtor making a claim of ₹ 33,86,46,611.84 as financial debt against the Corporate Debtor before the Resolution Professional. Admission of claim over Series-I Debentures for setting aside the claim rejected by the RP - HELD THAT:- ince the Applicant Bank itself is not in a position to place proof before the RP to determine the rejected claim of the Applicant Bank and despite the RP made an attempt to locate the records of the company, since he is also unable to get any material supporting the claim of the Applicant Bank, the RP rejected the claim over Series-1. In view thereof, I am of the considered opinion that unless proof is placed before the RP, it is not possible under law to admit this claim, thereby, I have not found any merit in the argument of the Applicant Bank seeking directions against the RP to admit its claim. As to other relief in respect to the valuation of around 16 grounds of land assigned to the Corporate Debtor by the Government of Tamil Nadu through Assignment Deed in the year 1989, the Applicant Bank counsel says that the liquidation value determined by theJRP over the aforesaid land is decimal in value against the approximate value of ₹ 18.74 crore given by valuer of the Applicant Bank on 24.06.2019 - As property rights have not been conferred upon the Corporate Debtor, this land will only fetch the same money from Tamil Nadu Government that was paid to the Government in the event this property has been taken back by the Government. In view thereof, the Valuer as well as the RP, the RP counsel says, determined liquidation value that was shown at the time of assignment. It is also an admitted fact that this land cannot be used for any other purpose other than the purpose mentioned in the Assignment Deed and there is also no provision entitling the Corporate Debtor to create third party rights, therefore, the value of the property cannot be ascertained basing on the market value prevailing in the vicinity around this land. Maybe it is true that the charge was created over this property by the Bank with the consent of the Government, but that consent will not make any difference to the rights already crystallized by virtue of assignment made in favour of the Corporate Debtor. The valuation given by the Valuers and the determination of the liquidation value of the asset by the RP cannot be re-examined by looking at the allegation made by this Applicant Bank - Application dismissed.
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