Liquidator's right to police assistance upheld where unlawful occupation obstructed custody of corporate debtor assets.

A liquidator may seek police assistance where resistance and non-cooperation prevent effective custody and control of a corporate debtor's assets during liquidation. The tribunal reasoned that the liquidator, as an officer of the court under the Insolvency Code, must protect and preserve the liquidation estate and carry out the process without interference. Because the occupant remained in unlawful possession of the Durgapur unit and movable assets, the tribunal directed handover of the premises and assets and permitted police protection if resistance was offered.

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Issues: Whether the Liquidator was entitled to directions for police assistance and for handing over possession of the corporate debtor's Durgapur unit and the movable assets lying therein from the person in occupation.

Analysis: The Liquidator is an officer of the Court appointed under the Code and is charged with taking custody and control of the corporate debtor's assets, protecting and preserving them, and carrying out the liquidation process. The order records that the Liquidator was unable to take effective possession of the unit because of resistance and non-cooperation, and that the assistance of law-enforcement authorities was necessary to enable performance of the statutory duties. On those facts, the Adjudicating Authority held that the occupant could not continue in illegal possession and that police aid was warranted to secure compliance and protect the liquidation estate.

Conclusion: The Liquidator was entitled to the requested directions, and the occupant was ordered to hand over the unit and the movable assets, with police protection to be provided if resistance was offered.

Ratio Decidendi: A Liquidator may be granted police assistance to take custody and possession of the corporate debtor's assets where such assistance is necessary to enable performance of the Liquidator's statutory duties under the Code and to prevent interference with the liquidation estate.

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