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2020 (10) TMI 589 - NATIONAL COMPANY LAW TRIBUNAL , HYDERABAD BENCHRelease of attachment on the plant and machinery, factory building, movable assets and bank accounts - Section 60(5) of I&B Code - HELD THAT:- A bare reading of the MPID Act, 1999, would show that with regard to the attachment that are effected by the competent authority under the MPID Act, 1999, the designated court would further enquire into claims/objections on such attachments and for that purpose, Section 7 of the MPID Act, 1999 provides the designated court all the powers as contained in Civil Procedure Code - It is pertinent to note that the properties of the Corporate Debtor are attached under the provisions of the MPID Act for the alleged dues of ₹ 98.8 Crores, payable by the Corporate Debtor to NSEL on the premise that NSEL is Financial Establishment. However, Hon'ble High Court of Bombay in the matter of 63 Moons Technologies Limited vs. State of Maharashtra [2019 (8) TMI 1038 - BOMBAY HIGH COURT ] has categorically held that NSEL is not a Financial Establishment and that all the attachments made under the MPID Act, 1999 on the premise that NSEL is a Financial Establishment would not subsist. Section 238 of the IB Code, 2016 provides for non-obstante clause to the effect that the "Code shall have effect notwithstanding anything inconsistent therewith contained in any other law for the time being in force or any instrument having effect by virtue of such law" - The Hon'ble Supreme Court in the case of Solidaire India Ltd. Vs. Fairgrowth Financial Services Pvt. Ltd. [2001 (2) TMI 968 - SUPREME COURT ] has held that where two statutes contain non-obstante clause, latest statute would prevail. Thus IB Code, 2016 being the later statute of the two, provisions of Section 238 of IB Code, 2016 would prevail over the provisions of MPID Act, 1999, insofar as it relates to enquiry on attachments which are civil in nature as per Section 7 of MPID Act, 1999 - Further, since the Hon'ble High Court of Bombay has ruled that NSEL is not a Financial Establishment, the impugned notification of the Deputy Secretary to the Government of Maharashtra with regard to attachment over the properties of Corporate Debtor owing to its alleged dues to NSEL cannot survive. This Adjudicating Authority holds the attachment made by the Competent Authority under MPID Act, 1999, as invalid in the eyes of law - Application disposed off.
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