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2021 (6) TMI 236 - NATIONAL COMPANY LAW TRIBUNAL — CHENNAI BENCHCondonation of delay of 873 days in submitting the claim before the liquidator - direction to liquidator to accept the claim of the appellant - HELD THAT:- It is a fact borne on record that the applicant has failed to submit the claim during the corporate insolvency resolution process and that it is averred in the application that the applicant came to know about the liquidation process of the corporate debtor only when the public announcement was made on March 22, 2018. The public announcement is being made only for the sake of the stakeholders to submit the claim before the liquidator and the applicant as per the averments made in the application, being aware of the fact that the public announcement has been made has failed to submit the claim before the liquidator. Hence, the applicant came to know about the order of liquidation passed against the corporate debtor as early as on March 22, 2018 and thus cannot take a plea that they came to know about the liquidation of the corporate debtor only on a subsequent date. It is to be noted here that the provisions of the IBC, 2016 mandate that the claimants are required to submit the claim to the liquidator in such form and in such manner along with such supporting documents as specified by the Board. Thereafter, upon submission of the claim, the liquidator is required to verify the claims within the time limits specified by the Board and in this connection referring to the relevant Regulations, namely, the IBBI (Liquidation Process) Regulations, 2016 and more specifically under regulation 30, the liquidator is required to verify the claim submitted within a period of 30 days from the last date of receipt of the claims and may either admit or reject in whole or part as the case may be of such claim - As against the rejection of the claim, section 42 of the I and B Code, 2016 provides for a time window of 14 days upon receipt of such decision to the creditor to file an appeal to the Adjudicating Authority against the said decision of the liquidator. It may be noted that under regulation 44(1) of the IBBI (Liquidation Process) Regulations, 2016, the liquidator is directed to liquidate the corporate debtor within one year from the date of commencement of the liquidation proceedings and regulation 44(2) stipulates that, after the expiry of one year, the liquidator shall file an application to the Authority to continue the liquidation period along with a report and explain why the liquidation has not been completed. Thus, it can be seen that the liquidation is a time bound process and the liquidator is being made accountable and required to explain, if there is any delay caused in the liquidation process. In view of the IBC, 2016 being a time bound process as well as the learned liquidator being under a compulsion to complete the liquidation process within a period of one year from the date of commencement of liquidation, application stands dismissed, however without costs.
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