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Judgment
Heard Learned Counsel for the Appellant and Learned Counsel for the Respondents.
This Appeal has been filed against the order dated 03.03.2023 passed by the Adjudicating Authority (National Company Law Tribunal), Allahabad Bench, Prayagraj, by which order the Adjudicating Authority admitted Section 7 Application filed by the Bank of Baroda. The Adjudicating Authority has returned finding that there is debt and default towards the Bank of Baroda and the OTS which was earlier sanctioned was not honored.
We are of the view that no error has been committed by the Adjudicating Authority in admitting Section 7 Application.
When the Appeal was taken, Counsel for the Appellant made a submission that a joint inspection was already held and report of joint inspection is awaited. Counsel for the Appellant submits that the OTS proposal is under consideration by the Bank.
Be that as it may, in event the OTS is accepted by the Bank, the route open for the Appellant is to file Application under Section 12A for closing of the CIRP and it is for the CoC having already constituted that may require approval by 90% of the vote shares of the CoC for closing the CIRP.
Counsel for the Appellant submits that the part payments have already been made. It is for the Bank to take early decision. If OTS is accepted, the Resolution Professional shall file an Application under Section 12A.
Subject to the above, the Appeal is dismissed.