TMI Blog2020 (8) TMI 112X X X X Extracts X X X X X X X X Extracts X X X X ..... ef General Manager in 2016. Merely, because Mr. Shailesh Verma continues to draw pension for services rendered in past does not clothe him with the status of an interested person . The fact that Mr. Shailesh Verma is drawing pension from Financial Creditor s organisation does not clothe him with the status of an employee on the payroll of Financial Creditor . Pension is paid for the services rendered to the employer in the past and it is a benefit earned for such past services under the relevant Service Rules. The pensioner is entitled to such benefit as a privilege under the Service Rules and not as a boon from the ex-employer - The Regulation clearly provides that an Insolvency Professional shall be eligible for appointment as a Resol ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Srinivasan, Senior Advocate with Mr. Ankur Mittal, Mr. UC Mittal, Ms. Meera Murali, Ms. Jasveen Kaur and Mr. Rishab Kapoor, Advocates. For Respondent: Mr. Arun Kathpalia, Senior Advocate with Mr. Arvind Kumar Gupta, Mr. M.K.Pandey, Mrs. Purti Marwaha Gupta, Mrs. Heena George, Ms. Areela Sanjay Massey, Ms. Adya Shree Dutta, Mr. D.N. Sharma and Mr. T.R.B. Shivakar, Advocates. JUDGEMENT Appellant- State Bank of India is the Financial Creditor who sought initiation of Corporate insolvency Resolution Process by filing an application under Section 7 of the Insolvency and Bankruptcy Code, 2016 (hereinafter referred to as I B Code ) before the Adjudicating Authority (National Company Law Tribunal), New Delhi, Principal Bench w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ex- management of the Corporate Debtor or decide any conflicting issues between them. It is further submitted that the Resolution Professional has no adjudicatory powers and only acts as a facilitator in the Corporate Insolvency Resolution Process as all major decisions are taken only with the approval of the Committee of Creditors . It is further submitted that the Financial Creditor also plays part only to the extent of its voting share as a member of Committee of Creditors and not beyond that. Therefore, merely because the proposed Interim Resolution Professional happens to be an ex-employee of the Financial Creditor cannot be a ground to allege bias against him. Lastly, it is contended that the proposed Interim Resolutio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ditor having served the organisation for 39 years in the past and retired as the Chief General Manager in 2016. Merely, because Mr. Shailesh Verma continues to draw pension for services rendered in past does not clothe him with the status of an interested person . The fact that Mr. Shailesh Verma is drawing pension from Financial Creditor s organisation does not clothe him with the status of an employee on the payroll of Financial Creditor . Pension is paid for the services rendered to the employer in the past and it is a benefit earned for such past services under the relevant Service Rules. The pensioner is entitled to such benefit as a privilege under the Service Rules and not as a boon from the ex-employer. It is significant to refe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he argument advanced on behalf of the Corporate Debtor in this Court to portray Mr. Shailesh Verma as an interested person drawing salary within the meaning of Income Tax Act, 1961 defies logic and same has to be repelled. 7. This Appellate Tribunal had an occasion to consider ineligibility or disqualification for appointment as Interim Resolution Professional or Resolution Professional . Taking note of the relevant provisions of law in State Bank of India v. Ram Dev International Ltd. (Through Resolution Professional) Company Appeal (AT) (Insolvency) No. 302 of 2018 decided on 16th July, 2018, this Appellate Tribunal observed that merely because a Resolution Professional is empanelled as an Advocate or Company Secretary or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n the perception of Respondent- Corporate Debtor . It is profitable to refer to the following observations of the Hon ble Apex Court in Ranjit Thakur v. Union of India and Ors. (1987) 4 SCC 611 : 17 . As to the tests of the likelihood of bias what is relevant is the reasonableness of the apprehension in that regard in the mind of the party. The proper approach for the judge is not to look at his own mind and ask himself, however, honestly, Am I Biased? ; but to look at the mind of the party before him 8. The fact that the proposed Resolution Professional Mr. Shailesh Verma had a long association of around four decades with the Financial Creditor serving under it and currently drawing pension coupled with the fact that ..... X X X X Extracts X X X X X X X X Extracts X X X X
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