Corporate Insolvency Resolution Process Closed: Joint Settlement Reached, Payments Made, Applications Resolved.

The NCLT ordered the closure of the Corporate Insolvency Resolution Process against the respondent company following a joint settlement between the appellant and the operational creditor. The appellant provided renewed demand drafts totaling Rs.5 crores and committed to paying Rs.5,00,000 to the Resolution Professional. The appeal was disposed of without costs, and all pending applications were resolved.

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Issues involved: Joint application for settlement, payment to creditors, closure of Corporate Insolvency Resolution Process.

Settlement and Payment to Creditors:
A joint application was filed by the appellant and the operational creditor, wherein they reached a settlement as per the Deed of Settlement dated 01.02.2024. The appellant handed over two renewed demand drafts totaling to Rs.5 crores to the operational creditor. An affidavit was filed stating the dues payable to the Resolution Professionals, with a commitment from the appellant to make a payment of Rs.5,00,000/- to the Resolution Professional within ten days, failing which the Resolution Professional could seek recovery through the National Company Law Tribunal.

Closure of Corporate Insolvency Resolution Process:
The Corporate Insolvency Resolution Process against the respondent company was ordered to be treated as closed following the settlement and payment made by the appellant. Consequently, the appeal was disposed of with no order as to costs, and any pending applications were also disposed of accordingly.

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