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Judgment
O R D E R
25.02.2022: Heard Dr. Abhishek Manu Singhvi, Sr. Advocate for the Appellant. Mr. Ramji Srinivasan, Sr. Advocate for the Respondent No. 2 and Mr. Abhijeet Sinha, Advocate for Respondent No. 1. With the consent of the parties, we dispose of this Appeal at the admission stage.
Learned Counsel for the Appellant submits that the Appellant has filed I.A. No. 301/JPR/2019, I.A. No. 327/JPR/2019, I.A. No. 328/JPR/2019 and I.A. 47 of 2020 before the Adjudicating Authority (National Company Law Tribunal, Jaipur) the arguments were heard and reserved in January and February but the matter were released in July, 2021 and the Applications are still pending. He submits that the Committee of Creditors (CoC in short) meeting was convened on 18th February, 2022 and with regard to that an Application i.e. I.A. No. 87/JPR/2022 was filed before the NCLT, Jaipur for passing an Interim Order staying the holding of the CoC meeting which was rejected by the Impugned Order dated 17th February, 2022. He submits that thereafter the Appellant filed a petition before the Hon’ble High Court of Rajasthan and Hon’ble High Court passed an Order staying the convening of the meeting for one week and given opportunity to the Appellant to file an Appeal and approach this Tribunal. It is submitted by Learned Counsel for the Appellant that CoC meeting is not held for last 18 months and the Applications which has been filed by the Appellant are relevant for CoC constitution and the applications be heard and CoC may not be taken place.
Learned Sr. Counsel for the Respondent-Mr. Ramji Srinivasan submits that the Applications have been listed on 03.03.2022 and 04.03.2022 and the applications are going to be heard in March itself. He further submits that proceeding of CoC may be allowed to be continued and should not be interfered because the matter is pending for last several years.
Learned Counsel for the Respondent No. 1 also submits that proceedings may be allowed to go on.
We observe that till the Applications of the Appellants mentioned above are disposed of, the Resolution Professional shall not convene any fresh meeting of the CoC. However, the Resolution Professional may take further steps after the applications are disposed of, as the Applications are said to be listed on 03.03.2022 and 04.03.2022. We make it clear that when the NCLT passes an Order in the applications the appropriate steps be taken including convening of meeting of the CoC by the Resolution Professional.
The Application filed by the Appellant being pending for consideration before Ld. NCLT which although had heard earlier but could not be decided and matters were released and now they have been listed again on 3rd March and 4th March, 2022. Having the Applications entertained and kept pending, it is appropriate that all parties should await the orders which may be passed in the applications, before taking any further steps in the matter.
We are also conscious of the fact that in the Insolvency Proceedings, the timeline is a factor ad there are already long delay in completion of the proceeding. Hence, we are of the view that the applications which are fixed for 3rd and 4th March, 2022, may be considered either on the fixed date or as early as possible preferably within a period of three months thereafter.
We are of the view that till the applications are decided by the NCLT, Resolution Professional shall not take any further steps for convening the meeting and further steps shall be taken only after the Applications are disposed of and as per the orders passed by the Ld. Adjudicating Authority in the aforesaid applications. We make it clear that this order is being passed only looking to the special facts of the present case. We also make it clear that we are not expressing any opinion in the merits of the case. It is for the NCLT to consider and take appropriate decision.