Approval of Company Petition Withdrawal & CIRP Closure under IBC

The Tribunal approved the application for withdrawal of company petition CP(IB) No.439/9/HDB/2018 under section 12A of IBC, 2016. The Committee of Creditors approved the withdrawal with 100% voting share, leading to the cessation of the moratorium order under section 14. The Operational Creditor's application for withdrawal was allowed, resulting in the closure of the Corporate Insolvency Resolution Process (CIRP).

---

---

Issues involved:
1. Application for withdrawal of company petition CP(IB) No.439/9/HDB/2018 under section 12A of IBC, 2016.
2. Compliance with regulations for withdrawal of application.
3. Approval process by Committee of Creditors and Adjudicating Authority.
4. Effect of approval on moratorium order and closure of CIRP.

Analysis:
1. The application was filed seeking permission for withdrawal of the company petition CP(IB) No.439/9/HDB/2018 under section 12A of IBC, 2016, after the Operational Creditor and Corporate Debtor agreed to settle the matter for a specified amount.
2. The applicant followed the prescribed procedures under Regulation 30A of IBBI Regulations, 2016, by submitting Form FA for withdrawal accompanied by necessary documents, including a bank guarantee for estimated costs.
3. The Committee of Creditors (COC) approved the withdrawal application with 100% voting share, as evidenced by the minutes of the meeting dated 27.06.2019, fulfilling the requirement set forth in section 12A of the Code.
4. The Adjudicating Authority, in this case, the Tribunal, reviewed the application, the compliance with regulations, and the approval process by the COC. The Tribunal, exercising powers under section 12A of the Code, approved the application for withdrawal.
5. Consequently, the moratorium order passed under section 14 ceased to exist, and the application for withdrawal filed by the Operational Creditor, approved by the COC with 100% voting share, was allowed. As a result, the application filed by the Operational Creditor in CP(IB) No. 439/9/HDB/2018 was withdrawn, and the Corporate Insolvency Resolution Process (CIRP) was closed.

---