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2022 (5) TMI 80 - Tri - Insolvency and BankruptcyLegality of Committee of Creditors - Committee of Creditors allegedly formed with just two creditors - validity of first meeting of COC and its minutes - HELD THAT:- It is important to appreciate the significance of the timeline. The Corporate Debtor was not in pink of its health when it defaulted and hence the resolution was initiated. During the CIRP period, an insolvency professional exercises the powers of the Board of Directors and manages the operations of the Corporate Debtor as a going concern and there is uncertainty about ownership and control of the corporate, post-resolution. If such a state of affairs continues too long, it is likely that organizational capital will diminish making the resolution difficult. A very long CIRP period is likely to push the Corporate Debtor towards liquidation while reducing its liquidation value. The claim of the applicant/Corporate Debtor in this application is that no sufficient period was granted for the public announcement in view of Covid-19 pandemic and without considering the spread of Covid-19 and the situation of national lockdown, the date to accept the claims of the creditors should have been extended. This application has been filed by the applicant Corporate Debtor on 07.02.2021 seeking the aforesaid reliefs. The applicant herein is exploiting the benefit under Covid-19 pandemic and trying to destroy the very purpose of the I&B Code,2016. 180 days is a long period now with all the advantages of modern technology and well-informed brains. Going forward, a CIRP could possibly be completed in a few days or even hours, particularly with the use of artificial intelligence. Considering the present stage of the CIRP and the Resolution Professional had already given ample opportunity to the claimants to file the claims, if any, and updated the list of creditors vide order dated 26th November 2021 as on 28.10.2021 and that a Resolution Plan has already been under the consideration of the CoC, there are no reason to entertain this application and grant any relief to the applicant. Application disposed off.
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