TMI Blog2017 (8) TMI 866X X X X Extracts X X X X X X X X Extracts X X X X ..... ng, alienating or disposing of by the corporate debtor any of its assets or any legal right or beneficial interest therein; (c) any action to foreclose, recover or enforce any security interest created by the corporate debtor in respect of its property including any action under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (54 of 2002); (d) the recovery of any property by an owner or lessor where such property is occupied by or in the possession of the corporate debtor. (i) The moratorium order in respect of (a), (b), (c) and (d) above shall not apply to the transactions notified by the Central Government. (ii) However, the order of moratorium shall not apply in respect ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... March, 2017 given by the Applicant. 3. M/s. K.S. Oils Limited/Respondent is a Company registered under the Companies Act. 4. The facts in brief, that are necessary for disposal of this Application, are as follows; 4.1 Applicant sanctioned Rupee Term Loan of ₹ 100 Crores to the Respondent on 16th August, 2010. Respondent accepted the terms and conditions mentioned in the sanction letter. On 23rd August, 2010, Rupee Loan Agreement No. SRE 130 was entered into between Applicant and Respondent. 4.2 In lieu of the loan granted by the Applicant to the Respondent in terms of Rupee Loan Agreement No. SRE 130 dated 23rd August, 2010 and as security for the due repayment thereof Respondent executed following documents in favour of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t. Respondent in its Annual Report for the year 2014-15 acknowledged that the Corporate Debtor owes to the Financial Creditor to the tune of ₹ 99,73,00,000/-with a First Charge on the entire assets of the Respondent Company. Similar acknowledgements were also made by the Respondent in its Annual Reports for the years 2011-12, 2013-14 and 2015-16. Applicant filed Original Application No. 458 of 2016 on 22nd June, 2016 before the Debt Recovery Tribunal-I at Kolkata against Respondent and Mr. Ramesh Chandra Garg for recovery of outstanding dues and it is pending. 5. Applicant filed this Application in Proforma-1 as per sub-Rule (1) of Rule 4 of the Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016. Applican ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... set offs. The Secured Creditors are interested in realization of dues through direct sale under SARFAESI Act. Respondent stated that initiation of corporate insolvency resolution process is not in public interest. It is also stated that incidence of default claimed in the petition would be subject matter of adjudication before DRT, Kolkata. Respondent stated that this Tribunal has to see whether Interim Resolution Professional would be able to prepare resolution scheme. 7. A perusal of the Rupee Loan Agreement dated 23rd August, 2010, Deed of Hypothecation dated 23rd August, 2010, Supplementary Agreement dated 2nd September, 2011; Master Restructuring Agreement dated 28th June, 2013; Statement of Account in accordance with the Banker ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ovision enjoining upon this Authority to issue a notice to other Creditors, no notice need be issued to other Creditors. 9. Learned Counsel appearing for the Respondent contended that this Adjudicating Authority has to see whether corporate insolvency resolution process is in the public interest or not. He further argued that 'public interest' includes interest of stakeholders. 10. The main object of enacting 'Insolvency Code' is to have Corporate Insolvency Resolution Plan in respect of Corporate Debtors with an intention to revive the operations of the Corporate Debtor without straightway going to liquidation. In the process of resolution, every Creditor has an opportunity and interest of every stakeholder is to be t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eedings against the corporate debtor including execution of any judgment, decree or order in any court of law, tribunal, arbitration panel or other authority; (b) transferring, encumbering, alienating or disposing of by the corporate debtor any of its assets or any legal right or beneficial interest therein; (c) any action to foreclose, recover or enforce any security interest created by the corporate debtor in respect of its property including any action under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (54 of 2002); (d) the recovery of any property by an owner or lessor where such property is occupied by or in the possession of the corporate debtor. (i) The moratoriu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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