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Judgment
O R D E R
10.10.2022: Heard learned counsel for the Appellant as well as learned counsel for the Respondent. This Appeal has been filed against the order dated 20.09.2022 by which order the Adjudicating Authority has rejected the application filed by the Appellant being I.A. No. 4446/2022 by which the Appellant has prayed to set aside the order dated 15.07.2022.
The notice was issued by the Adjudicating Authority on 04.05.2022 which was sent by two modes; by email and by post. The postal service was not effected on the Appellant but it was said that the notice by email dated 17.05.2022 was served on the Appellant. Appellant did not appear on 15.07.2022, hence, the Adjudicating Authority directed to proceed ex-parte. An application was filed for recall of said order on 01.09.2022. The case taken in the application is that he was not aware of the proceedings and in hearing of another proceeding before the Adjudicating Authority has come to know about the filing of the application. The Adjudicating Authority rejected the application by imposing cost of Rs.20,000/-.
Learned counsel for the Respondent submits that when email was served on the Appellant they ought to have appeared and filed a Reply. It is submitted that even in this Appeal, Appellant have not come with the case that their reply is ready and they have also not sought time to file reply.
We have considered the submissions of the parties and perused the record.
15.07.2022 was the date on which the Appellant did not appear and the Adjudicating Authority directed to proceed ex-parte. The application for recall of order dated 15.07.2022 was dismissed with cost of Rs.20,000/-. Appellant’s case in the Application is that they come to know in the first week of September, 2022 about the proceedings and the email which was sent was received by an official who did not bring to the notice of the Appellant about the proceeding. One Section 7 application being Company Petition No. 575/ND/2022 is also pending before the Adjudicating Authority where the Appellant has appeared and prosecuting the matter. We are of the view that in the Section 7 application which has been filed and which is proceeding ex-parte ends of justice be served in giving one opportunity to the Appellant to file reply, which reply be filed by the Appellant within one week from today before the Adjudicating Authority, failing which the right to file reply will be closed. Respondent may file rejoinder also within one week thereafter. The impugned order dated 20.09.2022 is set aside with direction that Appellant shall file its reply within one week and Adjudicating Authority shall proceed thereafter taking into consideration the reply filed by the Appellant, if any. The Appeal is disposed of accordingly.