Liquidation Estate under the Insolvency Code includes DRT deposits, which the Liquidator must recover and distribute statutorily.

When no resolution plan is approved within the CIRP period and the Committee of Creditors resolves to liquidate, liquidation follows under the Insolvency and Bankruptcy Code. The Corporate Debtor's deposits before the DRT were treated as assets and actionable claims forming part of the liquidation estate under section 36(3), so the Liquidator was required to take custody, control, and recovery of those amounts for the benefit of creditors. The realised funds were to be distributed under the statutory waterfall in section 53.

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Issues: Whether the Corporate Debtor should be ordered to undergo liquidation under section 33(2) of the Insolvency and Bankruptcy Code, 2016, and whether the amounts lying with the DRT should form part of the liquidation estate to be collected by the Liquidator.

Analysis: The Resolution Professional placed on record that the CIRP had run its full course, no viable resolution plan had been received within the maximum period, and the Committee of Creditors had unanimously resolved to liquidate the Corporate Debtor. In the absence of any approved resolution plan under section 30(6), the statutory consequence under section 33 followed. The amount deposited before the DRT was treated as an asset and actionable claim of the Corporate Debtor forming part of the liquidation estate under section 36(3). The Liquidator was therefore required to take custody and control of such assets and recover them for the benefit of the liquidation estate. The order also recorded that the monies so realised would be dealt with in accordance with the distribution scheme under section 53.

Conclusion: Liquidation of the Corporate Debtor was ordered, the Liquidator was appointed, and directions were issued to recover the DRT deposits as part of the liquidation estate.

Ratio Decidendi: Where no resolution plan is approved within the statutory CIRP period and the Committee of Creditors resolves in favour of liquidation, the Adjudicating Authority must order liquidation; assets and receivables of the corporate debtor form part of the liquidation estate and are to be realised by the Liquidator in accordance with the Code.

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