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2022 (3) TMI 994 - Tri - Insolvency and BankruptcyDirection to provide all required information to RP and to assist the RP in completing and signing the financials - providing the accurate details of debtors against whom the Corporate Debtor advanced money and supplied goods as required by RP - furnishing all required information relating to ECGC claim - furnishing all required information for filing DGFT claim - assisting the RP in the identification of machineries and reconcile the same with the invoices - assisting RP in complying with all statutory requirements - direction to provide all other assistance and cooperation required by the RP during the CIRP Process - HELD THAT:- It appears from the record that vide order dated 27.07.2021 this Tribunal directed the parties to sit together and sort out the issues so as to enable the Resolution Professional to discharge her duties. The Resolution Professional was directed to file a report before this Tribunal stating what transpired in the meeting. As per the direction, the meeting was convened on 04.08.2021. In the meeting counsel for both the Respondents and Applicant have suggested the Suspended Directors’ visit to the factory and sit with the Resolution Professional, to provide the necessary assistance to the Resolution Professional. However, one of the suspended Directors informed that as his father is not well and he was attending the meeting from Hospital at Calicut, Kerala traveling from there to the factory premises cost him additional expenses. The defence of the Respondents is that, they have already handed over the documents to the Interim Resolution Professional and that since their part of the job is already completed, no further assistance to the Resolution Professional is required. Upon the direction of this Tribunal, a meeting was conducted in which the counsel for both the parties suggested the ex-management to visit the premises of the Corporate Debtor to provide further assistance. However, the Respondents were unwilling to go to the premises to provide any assistance; instead, they have sent an e-mail providing certain documents. If the Respondents/Suspended Directors were unable to go to the premises they should have arranged some other persons to make means to make necessary arrangements for carrying out the functions of the Resolution Professional. There was default on the part of the suspended Directors in compliance with the provisions of Section 19 of the IBC Code. To implement the intention of the Code up to this extent, it is obvious that the Suspended Directors and Managerial persons should extend full cooperation to the Resolution Professional and to furnish all information about their accounts and financial facilities availed from various financial creditors - No assistance was provided by them to identify the debtors of the Corporate Debtor, instead, they have submitted a letter to financial creditors to write off the dues. No action was taken to recover those dues and no claim was made before ECGC prior to giving such instructions. All these pieces of information are mainly in the knowledge and possession of the Directors, and therefore they are held responsible for non-submission of the information as well as non-cooperation as prescribed under Section 19 of the I&B Code. The respondents are directed to assist the Resolution Professional and provide the required details to carry out her duties for completion of the Corporate Insolvency Resolution Process within two weeks from the date of receipt of this Order - application allowed.
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