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2022 (3) TMI 601 - AT - Insolvency and BankruptcyValidity of approved Resolution Plan - it is alleged that the Resolution Plan fails to consider the payment of provident fund dues as computed by the Assistant Provident Fund Commissioner - further allegation is that Resolution Plan approved by the Adjudicating Authority is on 02nd April, 2019. The amount so computed is ₹ 1,35,06,391/- whereas the provisions has been made for ₹ 78 lacs only - Financial Creditors are being paid 21.6% whereas Operational creditors are being paid 12.67% - HELD THAT:- Since no provisions of Section 31 (1), Section 30(2), Section 36(4)(a) (iii) & Section 238 of the I& B Code, 2016, is in conflict with any of the provisions of the I& B Code, the applicability of even Section 238 of the I& B Code does not arise. PF dues are not the assets of the CD as amply made clear by the provisions of Section 36(4)(a)(iii) of the I& B Code, 2016. The Respondent No.2/Successful Resolution Applicant are directed to release full provident fund dues in terms of the provisions of the Employees Provident Funds and Miscellaneous Provident Fund Act, 1952 immediately by releasing the balance amount of (₹ 1,35,06,391 full dues – (minus) considered in the Resolution Plan ₹ 78,00,000). The impugned order dated 02nd April, 2019 approving the ‘Resolution Plan’ stands modified - appeal disposed off.
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