2020 (12) TMI 1106 - Tri - Insolvency and Bankruptcy

Disbursement of pension, gratuity, and provident fund application considered by NCLT Kochi Bench

Sojan George and others M/s RBL Bank Limited Versus M/s Hindustan Newsprint Limited

The application seeking direction for disbursement of pension, gratuity, and provident fund, along with statutory interest, was considered by the National ... Claim of Retirement benefits before RP - CIRP proceedings - Applicants who have retired from the Corporate Debtor Company, seeking a direction to the Resolution Professional to disburse the amount pertaining to pension, gratuity and provident fund along with statutory interest and disburse the amount pertaining to provident fund to the EPFO payable to the Applicant and to include the admitted amount of gratuity outstanding interest in the Information Memorandum - HELD THAT:- Since the EPF authorities have already filed their claim pertaining to the PF dues of the applicants and admitted by the Resolution Professional, the claims made by the above applicants with respect to Provident Fund have not been admitted. Since, the Resolution Professional stated that he has admitted the interest on gratuity of the applicants till the Insolvency commencement date i.e. on 28.11.2019 from the date of retirement of the applicants and already included the admitted claims in the Information Memorandum, and since the EPF authorities have already filed their claim pertaining to the PF dues of the applicants and admitted by the Resolution Professional, nothing survives for further consideration in this application. Noting the submission of the Learned Resolution Professional, this application No. MA/173/KOB/2020 in TIBA/03/KOB/2019 stands disposed of. Issues:1. Application for direction to disburse pension, gratuity, and provident fund.2. Rejection of provident fund claim by Resolution Professional.3. Moratorium under Section 14 of the Insolvency and Bankruptcy Code, 2016.4. Admittance of claims by Resolution Professional.5. EPF authorities' claim and admission by Resolution Professional.6. Interest on gratuity till insolvency commencement date.7. Decision based on the Regional Labour Commissioner's ruling.Analysis:1. The Applicants, retired from the Corporate Debtor, sought directions for the disbursement of pension, gratuity, and provident fund, along with statutory interest. They also requested inclusion of gratuity outstanding interest in the Information Memorandum.2. The Resolution Professional rejected the provident fund claim of two applicants, stating it did not form part of the liquidation estate under the I&B Code. The Applicants contended that their entitlements were wrongfully rejected.3. The Resolution Professional cited the moratorium under Section 14 of the IBC, which prohibits proceedings against the Corporate Debtor. The Applicants' claims were challenged as not maintainable during the Corporate Insolvency Resolution Process.4. The Resolution Professional admitted claims, including gratuity and interest, till the insolvency commencement date. The claims were verified and admitted as per Regulation 13 of the IBBI Regulations.5. EPF authorities filed claims for PF dues of the applicants, which were admitted by the Resolution Professional. Claims related to Provident Fund by applicants were not admitted due to EPF authorities' claims.6. Interest on gratuity till the insolvency commencement date was already included in the Information Memorandum by the Resolution Professional. The Regional Labour Commissioner's ruling on interest was considered in the decision.7. Considering the Resolution Professional's admissions and EPF authorities' claims, the application was disposed of as nothing further required consideration.This detailed analysis covers the issues raised in the judgment, providing a comprehensive understanding of the legal proceedings and decisions made by the National Company Law Tribunal, Kochi Bench.