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2021 (6) TMI 44 - Tri - Insolvency and BankruptcyLiquidation of the Corporate Debtor - Exclusion of time spent in the scheme process - Section 60 (5) of the Insolvency and Bankruptcy Code, 2016 - HELD THAT:- The Scheme of the appellant before Hon'ble NCLAT i.e. MEPL received only 50.37 % as against the requirement of seventy five percent of secured creditors, in meeting held on 26.2.2020. The lockdown has commenced only on 25.03.2020 till date we have no, received any objections or challenges regarding the process and outcome under Section 230 of the Companies Act, 2013. The Hon'ble NLCLAT in order dated 01.07.2019 has said "not inclined" to interfere with the impugned order(s) of liquidation dated 06.12.2018. Hence, we have no option left but to permit applicant to proceeds with the liquidation as per the Order of Adjudicating Authority dated 06.12.2018 and 03.01.2019 - the liquidator shall proceed with the liquidation process of the Corporate Debtor as per order dated 06.12.2018 and 03.01.2019, in accordance with rules and in terms of Regulation of the IBBI (Liquidation Process) Regulations, 2016. Exclusion of time spent in the scheme process - HELD THAT:- Regulation 2B(2) of the Liquidation Process Regulations provides for exclusion of time taken with respect to compromise or arrangement, in computation of the liquidation period. It also prescribes a period of only ninety days, counted from the liquidation commencement date, for the completion of the process. As Regulation 2B was introduced pursuant to the Amendment Regulations, its provisions are admittedly inapplicable to the present case - order of liquidation was dated 06.12.2018. Hence, as per the time frame, the liquation period is two years, the liquidation ought to be completed on or before 05.12.2020. Since the country has been under pandemic period due to covid 19 and resultant lockdown of the nation'' the time frames have been excluded since 25th march, 2020. The liquidation can be completed well within the time frames. The loss of 367 days in litigation will not impact the time frames for completion of the liquidation process. Further, the lock down has not been full lifted. Hence, there are ample time on the hands of the liquidator to diligently complete the process of liquidation. Application disposed off.
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