Tribunal sets aside order, deems actions illegal, releases appellant company.

The Tribunal condoned the delay in re-filing the appeal, setting aside the impugned order due to an unauthorized demand notice under the Insolvency & Bankruptcy Code. Actions by the Interim Resolution Professional were deemed illegal, leading to the dismissal of the application under Section 9. The appellant company was released from constraints, allowed to operate independently through its Board of Directors. The Adjudicating Authority was directed to fix the Interim Resolution Professional's fee, with the respondent responsible for payment during the professional's service.

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Issues:
Delay in re-filing appeal condonation, validity of demand notice under I & B Code, authorization of notice issuer, setting aside impugned order, legality of actions by Interim Resolution Professional, dismissal of application under Section 9, release of appellant company, fee payment to Interim Resolution Professional.

Delay in re-filing appeal condonation:
The Tribunal condoned the delay in re-filing the appeal, disposing of I.A. No. 486 of 2017.

Validity of demand notice under I & B Code:
The appeal was filed by the Corporate Debtor against an order admitting an application by the Operational Creditor under Section 9 of the Insolvency & Bankruptcy Code, 2016 (I & B Code). The Corporate Debtor challenged the validity of the demand notice, arguing it was issued by an unauthorized party. Citing a previous judgment, the Tribunal emphasized that only notices in Form-3 or Form-4 could trigger the serious consequences of non-payment of Operational Debt.

Authorization of notice issuer:
The Tribunal noted that the demand notice was issued by an Associate of Advocates, not authorized by the Operational Creditor. The absence of authorization rendered the notice invalid under the I & B Code, leading to the setting aside of the impugned order.

Setting aside impugned order:
Due to the unauthorized issuance of the demand notice, the Tribunal set aside the order passed by the Adjudicating Authority on 6th July 2017. Consequently, all actions taken based on that order, including the appointment of an Interim Resolution Professional and declaration of moratorium, were declared illegal and set aside.

Legality of actions by Interim Resolution Professional:
The Tribunal deemed all orders and actions taken by the Adjudicating Authority, including the appointment of an Interim Resolution Professional and any related advertisements, as illegal and set them aside. The proceeding under Section 9 of the I & B Code was dismissed, allowing the appellant company to function independently through its Board of Directors.

Dismissal of application under Section 9, release of appellant company:
The application under Section 9 of the I & B Code was dismissed, releasing the appellant company from the legal constraints imposed by the impugned order. The company was permitted to operate independently through its Board of Directors immediately.

Fee payment to Interim Resolution Professional:
The Adjudicating Authority was directed to fix the fee of the Interim Resolution Professional, if appointed, with the respondent responsible for paying the fees for the period of the professional's service. The appeal was allowed with the specified observations and directions, with no order as to costs in the circumstances of the case.

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