TMI Blog2021 (7) TMI 618X X X X Extracts X X X X X X X X Extracts X X X X ..... ongoing projects and details of receivables until 30.09.2020 to the Respondents. It appears that the Successful Bidder, who is the Impleading Respondent herein has already paid 25% of the total bid value of ₹ 12.43 crores but has not made further payments to the Liquidator so as to complete the sale - both sides directed to take necessary steps for completion of the sale in terms of the Insolvency Bankruptcy Board of India (Liquidation Process) Regulations, 2016 and the terms of sale as advertised by the Liquidator in respect of the intangible assets of the company under liquidation. Application disposed off. - IA No. 754 of 2020 in CP (IB) No. 12/10/HDB/2017 - - - Dated:- 7-7-2021 - M. B. Gosavi, Member (J) And Dr. Binod Kumar Sinha, Member (T) For the Appellant : T.S.N. Raja, Liquidator and Amir Bavani, Advocate ORDER 1. The Application bearing IA No. 754 of 2020 (as amended vide Memo dated 06.04.2021 on the direction of this Adjudicating Authority vide Order dated 05.03.2021) is filed by the Applicant/Liquidator i.e. Mr. TSN Raja in the matter of M/s. VNR Infrastructures Limited (in short VNRIL) under section 60(5) of the Insolvency Bankruptcy ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or in the work is coming to ₹ 324 crores and the Corporate Debtor is eligible to get credential for this work. d) That as detailed the Company is having projects in various stages of implementation and majority of the projects are completed more than 85%. The Railway as a policy will not terminate any work if substantial portion of the work is completed. These works are pending for more than a decade and though the Liquidator with a target to get the BGs, EMD/SD released by executing the pending works. However, the Liquidator was struck as the SS Rail Works who was attached to the work are either transferred, promoted or retired and the records could not be traced. Though there is possibility of recovery, the process is taking time, slow and requires lot of follow up. e) That taking into account the potential attached to these intangible assets, the liquidator after disposing the tangible assets, initiated valuation of the intangible assets namely credentials, arbitration receivables, work in progress (Contracts) by appointing two valuers who are qualified in valuing Financial Assets and advertised for sale of the same in Prabatha Velugu, Financial Express on 20.02. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... clarified to the successful bidder that the Liquidator has passed on details of credentials, arbitration receivables and work in progress as per the conditions of the tender document. Further, the Liquidator had made it clear that other financial statements will be arranged in due course of time and also steps for handing over/briefing on the projects etc. will be undertaken. Copy of the email and letter dated 25.11.2020 alongwith the audited balance sheet for Financial Year 2015-16 are annexed as Annexure A-3 (Colly.) at page Nos. 23 to 59 of the Additional Affidavit. d. It is averred that the Hon'ble Tribunal vide its Order dated 27.10.2020, made it very clear that until the Corporate Debtor under liquidation is handed over to the successful bidder on completion of purchase obligations, the Liquidator shall be the sole representative of the company in Liquidation. Further, the Liquidator undertakes to hand over all the assets as per advertisement and tender documents to the successful bidder on confirmation of sale by this Hon'ble Tribunal. 4. The Respondent filed reply inter alia stating as under: i. The Respondent denies all the allegations contained in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ents being the Successful bidders. v. That the averments made in para 3(c) of the Additional Affidavit are that the Applicant/Liquidator complied with the Order dated 27-10-2020 in IA No. 843/2020 are strongly and vehemently denied and it is averred that the self-explanatory letter addressed by the Applicant/Liquidator or information provided by the Liquidator are not in compliance with the Order of this Adjudicating Authority and this Adjudicating Authority directed the Applicant/Liquidator as follows:- The Respondent/Liquidator shall provide audited financial statements of the company that are available with him and financial statements of the Company until 30-09-2020 (though may not have been audited yet) containing details of all payments, receipts, transactions etc. The Respondent/Liquidator further directed to provide copies of agreements relating to ongoing projects and details of receivables until 30-09-2020 to the Applicant herein . vi. That the Adjudicating Authority also directed to furnish the details as on 30-09-2020 but till now the Applicant/Liquidator has not furnished the details, and that the Applicant/Liquidator in his so called self-explanat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... etails of all payments, receipts, transaction etc. The Respondent/Liquidator further directed to provide copies of agreements relating to ongoing projects and details of receivables until 30-09-2020 to the Applicant herein . 5. Heard both sides and perused the records. 6. There are no disputes regarding the basic facts of the case such as Advertisement for sale of Intangible Assets viz. Credentials, Arbitration Receivables, Work-in-Progress (Contracts) of the Company under Liquidation as well as the Special Terms Conditions stated in the Tender Documents and the process of e-auction conducted by the Liquidator in which the Impleading Respondents were declared as Successful Auction Purchasers. 7. On an application filed in IA No. 843/2020, this Adjudicating Authority while dismissing the prayer of the Successful Bidder regarding adjustment of all the amounts received from the arbitration receivables, work-in-progress from the date of declaration of Respondents as Successful Bidder till date towards the balance bid consideration payable by the respondents, gave a specific direction to the Liquidator to provide Audited Financial Statements of the Company upto 30.09.20 ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
