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2022 (8) TMI 232 - Insolvency & Bankruptcy
Revocation of liquidation process enabling the Corporate Debtor to revive and reconstruct by implementing the scheme sanctioned - qualification of the Respondents to be scheme proponents under Sections 230 to 232 is in contravention to Section 29A read with Section 35(1)(f) and the IBBI Regulations - payment of fee to the Appellant stating that the Adjudicating Authority erroneously interpreted the impugned order - liquidator’s fee will be payable only as per the occurrence of the event reflected in the table - HELD THAT:- In view of the directions passed by the Adjudicating Authority, the Appellant obtained an affidavit from the Respondents dated 17.01.2020, whereby the Respondents have clearly stated that they were eligible to submit the scheme under Sections 230-232 of the Companies Act, 2013 and did not suffer from any disqualification under Section 29A of the Code - The order of the Adjudicating Authority dated 10.01.2020 has not been appealed by the Appellant and the said order has attained finality. Further, the Appellant filed its report before the Adjudicating Authority after receipt of affidavit from the Respondents.
This Tribunal is also of view that the Appellant filed the present Appeal on 05.10.2020 whereas the limitation period expires on 09.02.2020 and the Appellant has not filed any application seeking condonation of delay. Even otherwise, this Tribunal cannot condone the delay beyond the period as prescribed under Section 61(2) of the I&B Code, 2016. On this ground itself the Appeal is liable to be dismissed to the extent challenging the order dated 10.01.2020. However, this Tribunal has dealt with the issue even on merits to give a quietus to the litigation initiated by the Appellant.
From the sequence of events, the Respondent have submitted scheme as directed by this Tribunal. The consequences thereof follow namely convening meeting of creditors and shareholders and filing an application before the Adjudicating Authority seeking approval of the scheme as per the directions of this Tribunal - The Appellant is a party even to the Appeal filed by the promoters before this Tribunal in appeal and subsequent to all other proceedings. Being a party to the proceedings the Appellant is bound by the decisions of the Adjudicating Authority and this Tribunal and the precedents of the Hon’ble Supreme Court.
The order of the Adjudicating Authority dated 10.01.2020 to which the Appellant is a party has not challenged the said order dated 10.01.2020 and the same has attained finality. Therefore, the Appellant is estopped from challenging the said order in this Appeal. The filing of the present Appeal is an abuse of process of law and wasting the precious time of this Tribunal - this Tribunal comes to an irresistible and inescapable conclusion that the Appeal is frivolous and vexatious and the same is liable to be dismissed.