TMI Blog2021 (5) TMI 18X X X X Extracts X X X X X X X X Extracts X X X X ..... ndia Gazette Notification dated 26th June, 2020 - HELD THAT:- Considering the revised criteria laid down by the MSME as per Notification dated 26.6.2020, the Corporate Debtor qualified as a MSME under the revised norms. However, the notification was issued after admission of the application for initiation of CIRP considering the covid 19 pandemic in the country. The Resolution Professional further states that the Corporate Debtor meets the statutory requirements and revision in the MSME criteria and the Resolution Professional is ready to accept the Resolution Plan from the applicant, if a direction to that effect is granted by this Tribunal - In SWISS RIBBONS PVT. LTD. AND ANR. VERSUS UNION OF INDIA AND ORS. [ 2019 (1) TMI 1508 - SUPREME ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... brief are as follows: This Tribunal admitted an application filed by M/s Prayag Polytech Private Limited (Operational Creditor) vide IBA No. 52/KOB/2019 and directed to initiate Corporate Insolvency Resolution Process against the Corporate Debtor -M/s Propyl Packaging Limited, vide order dated 14.2.2020. The applicant being the Promotor Director of the company was keen in restarting the business operations of the unit and intend to submit a Resolution Plan. However, the eligibility criterion specified in the invitation to submit Expression of Interest prescribed Minimum Tangible Net Worth of INR 10 Crores for an individual who submits the Expression of Interest. Hence the expression of interest submitted by the applicant to the respond ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e admission of the matter, the applicant invited Expression of Interest to submit the Resolution Plan on 18.9.2020, 3.1.2021, 24.02.2021 to which in the last EOI respondent received three Expression of Interests (EOI) from the prospective resolution applicants which includes the EOI submitted by the promotor/applicant herein. The eligibility criteria for submission of the Resolution Plan approved by the Committee of Creditors in the meeting held on 16.9.2020 are as under: (a) In case Resolution Applicant is a company or LLP or individual his Tangible Net worth must be ₹ 10 crores as per the latest Financial Statement certified by a Chartered Accountant: and (b) In case Resolution Applicant is a Financial Institution or Asset Res ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... was issued after the commencement of CIRP, the RP shall act according to the direction of this Tribunal. 4. I have heard the learned counsel for the applicant and the respondent Resolution Professional and have meticulously gone through the documents produced on record. The points to be considered are whether (a) The applicant is eligible to submit the Resolution Plan in the name of the Corporate Debtor, and (b) Whether the applicant is eligible to submit the Resolution Plan in view of the Govt. of India Gazette Notification dated 26th June, 2020? 5. As rightly pointed out by the learned counsel for the Resolution Professional, as per the IBBI Regulations, the Corporate Debtor cannot submit a Resolution Plan in the CIR Process. When t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3;Udyam in the Udyam Registration portal) will be assigned a permanent identity number to be known as ―Udyam Registration Number. (3) An e-certificate, namely, ―Udyam Registration Certificate shall be issued on completion of the registration process. 7. The Resolution Professional stated that considering the revised criteria laid down by the MSME as per Notification dated 26.6.2020, the Corporate Debtor qualified as a MSME under the revised norms. However, the notification was issued after admission of the application for initiation of CIRP considering the covid 19 pandemic in the country. The Resolution Professional further states that the Corporate Debtor meets the statutory requirements and revision in the MSME criteria a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to file Resolution Plan . The intention of the legislature shows that the Promoters of MSME should be encouraged to pay back the amount with the satisfaction of the Committee of Creditors to regain the control of the Corporate Debtor and entrepreneurship by filing Resolution Plan which is viable, feasible and fulfils other criteria as laid down by the Insolvency and Bankruptcy Board of India . 22. Therefore, we hold that in exceptional circumstances, if the Corporate Debtor is MSME, it is not necessary for the Promoters to compete with other Resolution Applicants to regain the control of the Corporate Debtor . 9. In Swiss Ribbons Pvt.Ld. and Another Vs. Union of India and others -2019 SCC Online SC 73, the Hon ble Ap ..... X X X X Extracts X X X X X X X X Extracts X X X X
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