SK Construction Private Ltd. vs Kohinoor Power Private Limited

Per Shri Madan B. Gosavi

SK Construction - the Operational Creditor filed this Petition under section 9 of the Insolvency & Bankruptcy Code, 2016 (in short, I&B Code) against Kohinoor Power Private Limited - Corporate Debtor to start Corporate Insolvency Resolution Process (in short, "CIRP") of the Corporate Debtor, as the Corporate Debtor allegedly committed default in paying the operational debt of Rs. 5,59,198/-.

This authority vide order dated 03.08.2018 admitted the corporate debtor in CIRP. Ms. Savita Agarwal, having registration no. IBBI/IPA-001/IP-P00101/2017-2018/10201 was appointed as the IRP. IRP proceeded with the CIRP. She made public announcement of CIRP of the corporate debtor and called for the claims from the creditors of the corporate debtor. She verified the claims and formed the CoC. CoC in its first meeting replaced IRP Ms. Savita Agarwal and confirmed the appointment of one Mr. Samir Kumar Bhattacharyya, having registration no. IBBI/IPA-002/IP-N00273/2017-2018/10831 as Resolution Professional by 72% voting share. His name was also approved as RP by this Tribunal vide order dated 29.01.2019.

The 180 days of CIRP time period expired on 30^th January, 2019 and the 270 days expired on 29^th April, 2019. This Tribunal further permitted a 44 days exclusion of time and the CIRP period completion time was 12^th June, 2019.

It is seen from the record that there was only one Resolution Applicant – names Srei Multi Asset Investment Trust Vision India Fund (SMAITVIF) who vide email dated 6^th June 2019 had informed the RP that based on their detailed internal discussion with their management post their presentation of the Resolution Plan to the CoC members in the 11^th CoC meeting held on 17^th May, 2019, they were of the opinion that without security of land on which the plant of Kohinoor Power is located, it is difficult to envisage any value for the assets of Kohinoor Power Private Limited and hence were no longer interested in pursuing the opportunity further as Resolution Applicant. 12^th CoC meeting was held on 10^th June, 2019 and it was unanimously agreed by the CoC members that since there was no Resolution Plan, liquidation is to follow as per the provisions of IBC, 2016. Hence, CA(IB)No.1033/KB/2019 is filed by the Resolution Professional for passing an order of liquidation of the Corporate Debtor.

This Tribunal vide order dated 4^th October, 2019 in this proceeding in CA(IB)No.1033/KB/2019 passed an order of liquidation of the corporate debtor under section 33 of IBC and it was mentioned therein that detailed order to follow. Accordingly, we pass an order under section 33 of the I&B Code, 2016 to start process of liquidation of the Corporate Debtor as follows:

By this order, Corporate Debtor- Kohinoor Power Pvt. Ltd. is liquidated.

Mr. Yogesh Gupta, having registration no. IBBI/IPA-001/IPP00349/2017-2018/10650 is appointed as the Liquidator.

The Liquidator is directed to issue Public Announcement stating that the corporate debtor is in liquidation, in terms of Regulation 12 of the IBBI (Liquidation Process) Regulations, 2016.

The Registry is directed to communicate this order to the Registrar of Companies, West Bengal and to the Insolvency and Bankruptcy Board of India (IBBI), New Delhi.

The Order of Moratorium passed under Section 14 of the I&B Code, 2016 shall cease to have effects and a fresh moratorium under Section 33 (5) shall commence.

This order is deemed to be a notice of discharge to the officers, employees and the workmen of the Corporate Debtor as per Section 33 (7) of I&B Code, 2016.

The Liquidator is directed to proceed with the process of liquidation in a manner laid down in Chapter III of the Insolvency and Bankruptcy Code, 2016.

Upon proceeding with the liquidation the Liquidator shall file a preliminary report as per regulation 5 read with Reg.13 of the IBBI(Liquidation) Regulations,2016 at the registry within 75 days from the liquidation commencement date and continue to file progress reports as per Reg.15(1) within 15 days after the end of the quarter in which he is appointed.

The fee payable to the Liquidator shall form part of the liquidation cost as provided under Reg. 4(1) of the IBBI (Liquidation Process) Regulations,2016.

Registry is hereby directed to communicate the order to the RP, Financial Creditor, Corporate Debtor and the Liquidator by Speed Post and also by email for information and for taking necessary steps.

CA(IB) No.1033/KB/2018 stands disposed off.

CP(IB)No.1250/KB/2018 is disposed off as the Corporate Debtor (Kohinoor Power Private Limited) is liquidated.

Let the certified copy of the order be issued upon compliance with requisite formalities.