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of <h1>Corporate Debtor Berial Engineers Pvt. Ltd. Granted Liquidation: Lack of Assets and Business Operations</h1> <h3>M/s Tata Hitachi Construction Machinery Co. Pvt. Ltd Versus M/s Berial Engineers Pvt. Ltd., CA Purshotam Gaggar, RP- Berial Engineers Pvt. Ltd</h3> M/s Tata Hitachi Construction Machinery Co. Pvt. Ltd Versus M/s Berial Engineers Pvt. Ltd., CA Purshotam Gaggar, RP- Berial Engineers Pvt. Ltd - TMI Issues:Liquidation of Corporate Debtor due to lack of business activity and assets.Analysis:The application filed by the Resolution Professional (RP) on behalf of the Committee of Creditors (CoC) sought liquidation of the Corporate Debtor, Berial Engineers Pvt. Ltd., due to the absence of any business activity. The relief requested included public announcement for liquidation, appointment of liquidator, restrictions on legal proceedings, and other necessary directions for the liquidation process. The Corporate Insolvency Resolution Process (CIRP) was initiated earlier based on a petition by an Operational Creditor, and the Interim Resolution Professional was later confirmed as the RP.The RP received claims from UCO Bank and Tata Hitachi Construction Machinery Co. Pvt. Ltd., which were admitted after verification. The Committee of Creditors, consisting solely of UCO Bank as the financial creditor, had 100% voting rights and decided on the liquidation of the Corporate Debtor in a meeting. The RP recommended liquidation due to the Corporate Debtor's lack of assets, business activity, and updated financial information. The CoC approved the liquidation and authorized the RP to approach the Tribunal for necessary orders.After considering the submissions and the CoC meeting minutes, the Tribunal found that the Corporate Debtor had no business activity, outdated financial records, and nil realizable assets. With the CoC's unanimous decision to liquidate the Corporate Debtor, the Tribunal accepted the RP's application for liquidation under Section 33(2) of the Insolvency and Bankruptcy Code. The Tribunal ordered the liquidation of the Corporate Debtor and appointed the RP as the Liquidator, directing the initiation of the liquidation process as per the relevant regulations.The Tribunal also issued directions regarding public notices, cessation of powers of the Board of Directors, cooperation with the Liquidator, legal proceedings, discharge of officers and employees, and filing of the order with the Registrar of Companies. The application under Section 33(2) of the IBC was admitted and disposed of with the specified observations and directions. The Registry was instructed to provide copies of the order to all parties, and a certified copy would be issued upon completion of formalities.
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