Law and Practice : Digital eBook
Research is most exciting & rewarding
Home Case Index All Cases Insolvency & Bankruptcy Insolvency & Bankruptcy + HC Insolvency & Bankruptcy - 2023 (3) TMI HC This
Forgot password New User/ Regiser
2023 (3) TMI 650 - HC - Insolvency & Bankruptcy
Seeking permission to petitioner no. 1 to place its indents on the e-indenting system of the respondent relating to supply of raw materials - right over the siding or a license to use the siding - HELD THAT:- The decision in West Bengal State Electricity Distribution Company Limited vs. Sri Vasavi Industries Limited [[2022 (7) TMI 580 - CALCUTTA HIGH COURT]] make it clear that any claim not made during the course of CIRP and before approval of resolution plan shall automatically be extinguished and the corporate debtor is deemed to start its operations with a clean slate after the resolution plan is approved. In the present case, the respondent Railways admittedly failed to lodge its claims before the Resolution Professional or the Committee of Creditors during the CIRP. Simply put, the dues which the Railways omitted to claim are no longer in existence by operation of law. It is further evident that the Railways is attempting to foist its demands on the petitioners through a belated window which it cannot do after the law laid down by the Supreme Court.
It is also significant that the letter of 21st September, 2015 is addressed to Ramswarup Loh Udyog which merged into the petitioner no. 1 in 2007. This letter does not raise any other issue save and except that Ramswarup Loh Udyog has been de-licensed from 1st September, 2014 for non-payment of dues amounting to Rs. 12,51,416/-. Hence, the claim of the Railways is a monetary claim, simpliciter.
Since the claim stood extinguished on and from 4th September, 2019 when the petitioner no. 1 emerged successful from the CIRP, the Railways cannot penalize the petitioners for non-payment of dues including creating operational firewalls on the e-indenting system.
Application allowed and disposed of with a direction on the respondent South Eastern Railway to permit the petitioner no. 1 to place its indents for supply of raw material on the e-indenting system within 7 days from the date of communication of this judgment.