AI Structured Summary
Not yet generated for this judgment
Judgment
ORAL ORDER
IA-31/ND/2025: The prayer contained in the captioned application reads thus:
“a. Pass an order for liquidation of Mis Lion Buildcon Private Limited under Section 33 of the Insolvency and Bankruptcy Code, 2016;
b. Appoint the Applicant as the Liquidator under section 34 of the Code.
c. Direct for Publication of the Liquidation order in Newspapers and on the IBBI website;
d. Grant Liberty to make further submissions or file additional affidavits as required;”
Ld. Counsel for the Resolution Professional submitted that the CIRP could commence in terms of the order dated 03.07.2024 and when a period much beyond 180 days is over, the Resolution Professional could not receive any expression of interest. In the wake, the CoC could pass resolution with 100% vote share that Corporate Debtor should be liquidated. The relevant excerpt of the resolution reads thus:
As can be seen from the provisions of Section 33(2) of IBC, 2016 where CoC decide with 66% vote share to liquidate the Corporate Debtor, this Adjudicating Authority would pass an order in terms of the provisions of Section 33(1) of IBC, 2016. Provisions of Section 33(1) and Section 33(2) of IBC, 2016 reads thus:
“ Section 33: Initiation of liquidation.
*33. (1) Where the Adjudicating Authority
(a)before the expiry of the insolvency resolution process period or the maximum period permitted for completion of the corporate insolvency resolution process under section 12 or the fast track corporate insolvency resolution process under section 56, as the case may be, does not receive a resolution plan under sub-section (6) of section 30; or
(b)rejects the resolution plan under section 31 for the non-compliance of the requirements specified therein, it shall
(i)pass an order requiring the corporate debtor to be liquidated in the manner as laid down in this Chapter;
(ii)issue a public announcement stating that the corporate debtor is in liquidation; and
(iii)require such order to be sent to the authority with which the corporate debtor is registered.
(2)Where the resolution professional, at any time during the corporate insolvency resolution process but before confirmation of resolution plan, intimates the Adjudicating Authority of the decision of the committee of creditors 1[approved by not less than sixty-six per cent. of the voting share] to liquidate the corporate debtor, the Adjudicating Authority shall pass a liquidation order as referred to in sub-clauses (i), (ii) and (iii) of clause (b) of sub-section (1).”
In the wake of the aforementioned provisions of the code and the resolution passed by CoC we have no option but to order liquidation proceedings. Ordered Accordingly.
Accordingly, Mr. Gaurav Kapoor having Reg. No: IBBI/IPA-001/IP-P01283/2018- 2019/12002, e-mail ID: Gaurav.Kapoor@icai.org is appointed as the Liquidator of the Corporate Debtor to carry out the liquidation process inter alia in terms of the following directions:-
The Liquidator shall strictly act in accordance with the provisions of IBC, 2016 (viz. Sections 35, 36, 38, 39 and 41 thereof) and other relevant rules and Regulations including Insolvency and Bankruptcy (Liquidation Process) Regulations, 2017 as amended up to date, enjoined upon him.
The Liquidator shall issue the public announcement that the Corporate Debtor is in liquidation. In relation to officers/ employees and workers of the Corporate Debtor, taking into consideration Section 33(7) of IBC, 2016, this order shall be deemed to be a notice of discharge.
The Liquidator shall investigate the financial affairs of the Corporate Debtor particularly, in relation to preferential transactions/ undervalued transactions and such other like transactions including fraudulent preferences and file a suitable application before this Adjudicating Authority.
In terms of section 178 of the Income Tax Act, 1961, the Liquidator shall give necessary intimation to the Income Tax Department. In relation to other fiscal and regulatory authorities which govern the Corporate Debtor, the Liquidator shall also duly intimate about the order of liquidation.
The order of Moratorium passed under Section 14 of the Insolvency and Bankruptcy Code, 2016 shall cease to have its effect and a fresh Moratorium under section 33(5) of the Insolvency and Bankruptcy Code shall commence.
The Liquidator is directed to investigate the financial affairs of the Corporate Debtor in terms of the provisions of Section - 35(1) of IBC, 2016 read with relevant rules and regulations and also file its response for disposal of any pending Company applications during the process of liquidation.
The Liquidator shall submit a Preliminary report to this Tribunal within 75 (seventy-five) days from the liquidation commencement date as per regulation. 13 of the Insolvency and Bankruptcy (Liquidation Process) Regulations, 2016. Further such other or further reports as are required to be filed under the relevant Regulations, in addition, shall also be duly filed by him with this Adjudicating Authority.
Copy of this order be sent to the financial creditors, Corporate Debtor and the Liquidator for taking necessary steps and for extending the necessary cooperation in relation to the Liquidation process of the Corporate Debtor, viz., company-in-liquidation.
The Registry is directed to communicate this order to the Registrar of Companies, having jurisdiction over the Corporate Debtor and the Insolvency and Bankruptcy Board of India;
It goes without saying that fee of the Liquidator would be payable in terms of the provisions of Section 34 (7) of the IBC, 2016 read with Regulation 4 of IBBI (Liquidation Process) Regulation 2016.
IA-5625/ND/2024: As we have ordered liquidation of the Corporate Debtor, the IA would be pursued by the Liquidator. List on 11.03.2026.