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2019 (4) TMI 941 - Tri - Insolvency and BankruptcyOperational Creditor or not - Section 60(5) of the Insolvency and Bankruptcy Code, 2016 - as per the applicant, in the instant case, the respondent Resolution Professional is having no authority to decide the of claim of the applicant and it is incorrect to say that the respondent has travelled beyond his jurisdiction while rejecting the claim of the applicant by holding such that the applicant is not an 'Operational Creditor' - Principles of Natural Justice - HELD THAT:- It is now settled position in law that under the provisions of the I & B Code, the RP has not been vested with adjudicatory power. He is legally expected to collate and verify the claim submitted before him and to place the same before the CoC for its proper consideration under the provision of Section 21 of the Code. In case there arise some need for clarification/direction to be sought for, then he can approach this Adjudicating Authority, under the relevant provision of the Code. Nowhere the RP has been conferred with such adjudicatory power to accept or reject a claim coming under a particular class/category. The RP is assigned a duty to constitute the CoC and to convene and to attend meetings thereof, as per the Section 25 of the I& B Code. That apart, to prepare the memorandum of information in conformity with the other provisions and scheme of the Code. In addition to the above, the CoC is equally expected to go through the same and to form its opinion on such agenda placed before it, so that the RP can take appropriate action on the subject or can approach this Adjudicating Authority for issuance of some directions, if necessary. Principles of Natural Justice are applicable in all administrative action as a rule and deviation therefrom is only exception and, therefore, such principles are equally applicable to a CIRP, because the Resolution Professional as well as Committee of Creditors are creature of the I & B Code and their duties are like public servant/public institution. Application allowed.
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