TMI Blog2021 (9) TMI 1332X X X X Extracts X X X X X X X X Extracts X X X X ..... ong with its Net worth certificate showing its desire to submit the Resolution Plan. The RP has not controverted the eligibility of the Applicant on the basis of any criteria as laid down under RFRP. It appears that CIRP period is already over but since one plan is pending and since there is likelihood of Resolution of Insolvency of Corporate Debtor, we did not pass order of Liquidation - the RP and CoC are directed to allow the Applicant to submit the Plan on the basis of amendment of Form - G on which the Group Companies of M/s. Jindal power Ltd. were allowed to submit the plan. Application disposed off. - IA No. 325/2021 in CP(IB) No. 492/07/HDB/2019 - - - Dated:- 23-9-2021 - M.B. Gosavi, Member (J) and Dr. Binod Kumar Sinha, Member (T) For Appearing Parties: L. Racvichander, Shankarnarayana, Senior Advocates, Mayur Mundada, Allwin Godwin and Bishwajit Dubey, Advocates ORDER 1. This Application is filed by M/s. Riddhi Siddhi Gluco Biols Limited seeking following reliefs: a. Direct the Respondent No. 1 and Respondent No. 2 to accept the EOI and declare the Applicant as a prospective resolution applicant in terms of Regulation 36A of CIRP Regulations and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the applicant gathered that total of seven prospective resolution applicants have submitted their expression of Interest, however none of them have submitted their resolution plan yet. The applicant was eagerly awaiting publication of a revised Form-G for making the necessary expression of interest. The Applicant was very keen to participate by submitting its EOI to Respondent No. 1 but the revised Form G has not been issued. e. Therefore, the Applicant addressed an email to the Respondent No. 1 on 28.06.2021 requesting him to provide an opportunity to the Applicant to participate in the Resolution Process of the Corporate Debtor. The applicant received no response from Respondent No. 1 on the above request made. f. Stealthily an enablement was made for one of the potential EOI Parties i.e. Jindal Steel and Power Limited, wherein in the guise of clarification under the bid process, the following was communicated to the select EOI applicants. The Prospective Resolution Applicant may submit the Resolution Plan either itself or through any of its group company (as defined in the RFRP) subject to compliance ... g. The applicant became aware of this very significant develop ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the above judgment in the present case where at this stage no Resolution Plan is submitted by any resolution applicant, the Respondent No. 1 with the approval of Respondent No. 2 could have comfortably issued a fresh publication in Form G, inviting EOIs in respect of the Corporate Debtor. m. The Applicant further relying on the Judgment of ICICI Bank Limited Vs. Unimark Remedies Limited, MA No. 1529 of 2018 in C.P. No. 197 of 2018, submits that the object of the Code is to enable maximization of the value of Corporate Debtor's assets with a view to promote entrepreneurship, availability of credit and balancing the interest of all stakeholders. 3. Counsel for RP/R1 filed counter stating as under:- a. That as per Section 25(2) (h) of the Insolvency and Bankruptcy Code, 2016 ( IBC ), the Respondent No. 1 is required to invite prospective resolution applicants having regard to the complexity and scale of operations of the business of the Corporate Debtor and such other conditions as may be specified by the Board, to submit a resolution plan(s). In view of the same the detailed Invitation of Expression of Interest ( IEOI ) dated 24 June 2020 basis the EOIs received by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 21, the last date for submission of resolution plans is 26 July 2021, and if the Applicant is now allowed to submit its EOI, the Respondent No. 1 will have to undertake additional diligence to examine the eligibility of the applicant in terms of Regulation 36A (8) of the CIRP Regulations, which will further take time. g. That by entertaining such claims, this Adjudicating Authority will only be burdened by other third persons will also want to participate at this belated stage, and hence the CIRP of the Corporate Debtor will never be competed in time. This was the main reason that Regulation 36A(6) was inserted in the CIRP Regulations, to disallow participation by any other parties post the final timeline specified in Form G. h. It is also alleged by the Applicant that the Respondent No. 1 has unfairly treated the Applicant by allowing one of the group companies of Jindal Power Limited ( JPL ), a shortlisted prospective resolution applicant to participate in the resolution process of the Corporate Debtor, without submitting an EOI. It is clarified herein that the Respondent No. 2 did not specifically provide any clarification to JPL, but clarified and resolved in general to a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dismissed in limini. 4. Heard both sides and perused the record. 5. It is seen from the record that the RP and CoC allowed other group Companies of M/s. Jindal Power Ltd., to submit the Resolution Plan changing Form-G, although that group Company was not a Resolution Applicant at all. Even the Resolution Plan submitted by the group company of M/s. Jindal Power Ltd. is still under consideration by CoC. The Applicant approached the CoC and requested them to allow to submit the Resolution Plan, in view of the above changed circumstances, but, CoC did not consider the prayer. It is to be noted that the Applicant has already submitted the EOI vide emails dated 28.06.2021 and 04.07.20201 along with its Net worth certificate showing its desire to submit the Resolution Plan. The RP has not controverted the eligibility of the Applicant on the basis of any criteria as laid down under RFRP. 6. It appears to us that CIRP period is already over but since one plan is pending and since there is likelihood of Resolution of Insolvency of Corporate Debtor, we did not pass order of Liquidation. 7. To maintain parity of process, we direct the RP and CoC to allow the Applicant to submit the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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