M/s Myind MedTech Innovations Private Limited

It is submitted that pursuant to Section 10 (3) (a) of the IBC, 2016 the Corporate Applicant has filed Financial Statements for preceding 2 years (2017-2018) and (2018-2019) and also Provisional Balance sheet for the current year as on 10.06.2021. A perusal of the same discloses Loss.

It is submitted that pursuant to Section 10 (3) (b) of the IBC, 2016 the Corporate Applicant has proposed the name of Mr. Anjaneyulu Sadhu as Interim Resolution Professional having Registration No. IBBI/IPA-001/IP-P00963/2017-2018/11584. The Interim Resolution Professional has submitted his written consent in Form-2 and the same is enclosed with the Application.

It is submitted that pursuant to Section 10 (3) (c) of the IBC, 2016 the shareholders of the Corporate Applicant passed a Resolution for initiation of CIRP for the Corporate Applicant on 03.12.2020 and thereafter the same resolution was considered as in its Annual General Meeting on 29.12.2020. The same are enclosed with the Application.

It is submitted that the Corporate Applicant has filed a memo in furtherance of the Application stating that:

It has no secured creditors.

The notice has been sent to all the unsecured financial creditors via e-mail who hold 67.97% of the total debt.

Further notice has also been sent to the statutory authorities i.e Office of Income Tax, Commercial Tax and Provident Fund, against whom the liability holds to 20.20% of the total debt.

The Notice has been sent via e-mail to other trade payables to the extend who holds 6.6% of the total debt, where notice to trade payables and employees who hold upto 4.4% of the total debt could not be sent as operations have shut down three years ago.

It is submitted that as per part III of Form-6, the Corporate Applicant has Financial as well as Operational Creditors which has extended operational facilities. It is further stated that due to acute financial constraints, the Corporate Applicant could not maintain the accounts regularly and as a result the total amount in default is Rs. 1,32,10,445/-. Hence this present Application is filed under Section 10 of the IBC, 2016.

We have heard Learned Counsel for Corporate Applicant and perused the record. We have gone through the Application submitted by Corporate Applicant under Section 10 of the IBC, 2016 for initiation of Corporate Insolvency Resolution Process. After perusing the Application, we have directed Corporate Applicant to issue notices to all Unsecured Creditors and Statutory Authorities i.e. Income Tax, Commercial Tax, Provident Fund and other Authorities vide order of this Adjudicating Authority dated 23.12.2021. Accordingly, notices were sent to unsecured creditors as well as statutory authorities on 04.01.2022. However, there was no objection from any of the stakeholders as mentioned above. It was also brought to our notice that Corporate Applicant has no secured creditors which was supported vide Certificate issued by Chartered Accountant dated 29.06.2019. We observed that Corporate Applicant has faced many challenges in its business operations which were critical to its functioning like availability of ambulances etc.

It is also brought to our notice that due to acute financial constraints, the Corporate Applicant could not maintain the accounts regularly and as a result the total amount in default is Rs. 1,32,10,445/-.

In view of the several challenges faced by the Corporate Applicant as detailed in the Application. The Corporate Applicant started facing heavy losses which resulted in non-fulfilment of their commitments and failed to meet its operational expenses which led to heavy debts which they are not able to meet.

In the light of the above bleak scenario, the Corporate Applicant has filed this Application, seeking our order to put the Corporate Applicant into CIRP. We are satisfied with the reasons submitted by the Corporate Applicant, as well as gone through records. Further, there was no objection from any of the stakeholders for the prayer made by the Corporate Applicant.

The Bench hereby prohibits the institution of suits or continuation of pending suits or proceedings against the Corporate Applicant including execution of any judgment, decree or order in any court of law, Tribunal, arbitration panel or other authority; transferring, encumbering, alienating or disposing of by the Corporate Applicant any of its assets or any legal right or beneficial interest therein; any action to foreclose, recover or enforce any security interest created by the Corporate Applicant in respect of its property including any action under Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (54 of 2002); the recovery of any property by an owner or lessor where such property is occupied by or in possession of the corporate Applicant;

That the supply of essential goods or services to the Corporate Applicant, if continuing, shall not be terminated or suspended or interrupted during moratorium period.

That the provisions of sub-section (1) of Section 14 of IBC, 2016 shall not apply to such transactions as may be notified by the Central Government in consultation with any financial sector regulator.

That the order of moratorium shall have effect from the date of the Order till the completion of the Corporate Insolvency Resolution Process or until this Bench approves the Resolution Plan under Sub-Section (1) of Section 31 or passes an order for liquidation of Corporate Applicant under Section 33, whichever is earlier.

That the public announcement of the initiation of Corporate Insolvency Resolution Process shall be made immediately as prescribed under section 13 of IBC, 2016.

That this Bench hereby appoints Mr. Anjaneyulu Sadhu, #T402B, Technopolis Chikoti Gardens, Begumpet, Hyderabad- 500016, Telangana having registration number IBBI/IPA-001/IP-P00963/2017-2018/11584, as Interim Resolution Professional to carry the functions as mentioned under the IBC, 2016.

Accordingly, this Application is admitted.

Registry to send a copy of this order to proposed Interim Resolution professional, IBBI and also to Registrar of Companies, Hyderabad for appropriately changing the status of Corporate Applicant herein on the MCA-21 site of Ministry of Corporate Affairs.