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2022 (3) TMI 699 - AT - Insolvency and BankruptcySeeking direction to Resolution Professional (RP) to submit report under Section 99 of the Code for acceptance for rejection of the Application - HELD THAT:- In the present case, Demand Notice as contemplated under Rule 7 sub-rule (1) of the 2019 Rules was sent by India Post on the address of the Appellant as mentioned in the Deed of Guarantee. The Demand Notice dated 07.10.2020 was duly delivered on the said address on 13.10.2020 and accepted by Mr. Karthik Wadhawan, an adult member of the Appellant’s family. Fourteen days after service of Demand Notice, Application under Section 95 was filed on 01.12.2021. Rule 3(g) of the 2019 Rules provides mode and manner of sending any communication. As per Rule 3(g) “serve” means sending any communication by any means, including registered post, speed post, courier or electronic form. The proviso of 3(g) contemplate the situation where a document cannot be served in any of the modes, it shall be affixed at the outer door or some other conspicuous part of the house or building in which the addressee ordinarily resides or carries on business or personally works for gain. The statute provides a particular manner of service of notice. Demand Notice is to be served at house or building in which the addressee ordinarily resides. In the present case, proviso to Rule 3(g) was not resorted to since the Notice dated 07.10.2020 was sent and received on 13.10.2020. The Adjudicating Authority in impugned judgment after considering the submissions has come to the conclusion that notice served in Form B at the address of the Appellant is valid service. The Adjudicating Authority also came to the conclusion that service of Demand Notice is not requirement of personal service. Order 5 Rule 24 of the Civil Procedure Code is provision for issuance and service of summons. Said provision is not relevant in so far as service of Demand Notice is contemplated as per 2019 Rule 3(g) read with Rule 7 - Demand Notice which was dated 07.10.2020 was duly served on the Appellant as per Rule 3(g) read with Rule 7 of 2019 Rules. Service of Notice of Demand has been effected in accordance of procedure prescribed in 2019 Rules. There are no infirmity in the order of the Adjudicating Authority by which the Adjudicating Authority has held that the Demand Notice has been duly served and report under Section 99 of the Code by the Resolution Professional has been called for. The Application filed under Section 95(1) is yet to be admitted or rejected under Section 100 of the Code. After receipt of the report by the Resolution Professional as contemplated under Section 99, it is open for the Appellant to raise all his pleas and objections at the time of admission or rejection of Application under Section 95. The Appeal is dismissed.
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