TaxTMI 
TaxTMI 
2019 (9) TMI 1463
X X X X Extracts X X X X
X X X X Extracts X X X X
....he main company petition at the instance of one of the Operational Creditor (OC) of the CD was admitted on 25.1.2018 and Corporate Insolvency Resolution Process (CRIP) was initiated as a consequence of admission. At the time of Admission one Mr. Amar Nath Kukreja, was appointed as the Interim Resolution Professional (IRP) and the fact that the said IRP had issued a public announcement which was published in "Pioneer English" as well as "Hindi" Edition on 7.2.2018 calling for the claims from the Creditors of the CD. Subsequent of the collation of the claims as made by the Creditors before the IRP, Committee Creditors (COC) have been constituted on 5.3.2018. The list of Financial Creditors of the CD who constituted the members of the COC and ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....l on 5.4.2018. In the meanwhile, it is also brought to the notice of this Tribunal by the RP that the earlier IRP had appointed registered Valuers on 14.2.2018. However, the same stood changed by the present RP with the approval of the COC by appointing two Valuers on 9.5.2018. It is also brought to the notice of this Tribunal that invitation for expression of interest was issued on 21.7.2018 which subsequently was extended by the COC on 18.8.2018 pursuant to which the same got published on 21.8.2018. On 2.9.2018, the final list of eligible prospective Resolution applicants were made and the last date of submission of Resolution Plan which was required to be given on 20.9.2018 by the Prospective Resolution applicants was extended by the COC....
X X X X Extracts X X X X
X X X X Extracts X X X X
....aking the Corporate Debtor to liquidation as no EOI's were received for the said threshold as fixed by the COC, the net worth requirement was reduced to Rs. 7.5 crores as at 31.3.2018 for the prospective Resolution applicants. The COC meeting held on 18.8.2018 which also got published in "Business Standard" in English and Hindi Editions of 21.8.2018. Pursuant to the revised net worth criteria as fixed by the COC, Resolution plan seem to have been received from M/s. Hari Ram Gupta jointly with Arpit Gupta and Pratik Gupta who were found to be eligible Resolution applicants and in the circumstances the necessary follow ups to provide the requisite documents were also given. Since the above persons who have submitted the Resolution Plan al....
X X X X Extracts X X X X
X X X X Extracts X X X X
....the members of the COC and in the circumstances this application. From the narration of the happenings as above, it is seen that attempt have been made by the COC for resolution of insolvency first by reducing the net worth criteria as well as by giving opportunity to the promoter of the CD, being the resolution applicants to provide a better Resolution Plan to prevent the company from going into liquidation but despite best efforts of the COC, no resolution plan submitted by the resolution applicants was meeting their expectations as against the amount claimed by the creditors payment was only to the extent of 15.24% in relation to cash component and 8.27% by allotment of Equity share component in the Resolution Plan. It is pertinent to n....
X X X X Extracts X X X X
X X X X Extracts X X X X
....Tribunal and that the same is pending disposal as against the Board of Directors whose powers stand suspended. It is also evident from the report as filed along with the application that the erstwhile Board and personnel of CD have also not been cooperating with the RP during the CIRP process. Be that as it may, however, in view of the expiry of the period CIRP has contemplated under the provisions of IBC and as the resolution plan had also been rejected by the COC by overwhelming majority of more than 84%, this tribunal taking into consideration the provisions of Sec. 33 of IBC is perforce required to initiate the liquidation process in relation to the CD. Since the COC had also proposed the name of Mr. Ashwani Kumar Gupta to act as liqui....