TaxTMI 
TaxTMI 
2018 (2) TMI 38
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....anager of a Financial Creditor-Bank has been empowered by the authorization dated 16.06.2017 (Annexure-1) issued by the Chairman of State Bank of India in accordance with Section 27 of the State Bank of India General Regulations, 1955 read with the Gazette notification dated 27.03.1987 issued by the State Bank of India Central Office, to sign and submit the petition. A copy of the said authorization dated 16.06.2017 along with proof of designation of the authorized person has been placed on record as Annexure-1. 3. The Corporate Debtor-Bhushan Energy Limited is a public company limited by Shares and was incorporated on 14.09.2005. The identification number of the Corporate Debtor is U40105DL2005PLC 140748 and its registered office is situated at Bhushan Centre, 7th Floor, Hyatt Regency Complex, Bhikaji Cama Place, New Delhi South, West Delhi-110066. Its authorised share capital is Rs. 210,00,00,000/- (Rupees Two Hundred and Ten Crore) and the paid up share capital is Rs. 136,23,00,000/- (Rupees One Hundred and Thirty Six Crores Twenty Three Lakh) as per the details given in master data tendered before the Registrar of Companies by the Corporate Debtor himself. Copies of Memorand....
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....e default occurred have been stated in clear terms. According to the averments made by the Financial Creditor-State Bank of India the aforesaid facilities availed by the Corporate Debtor are overdue and total amount in default as on 31.10.2017 is Rs. 494,09,47,034.76/- (Rupees Four Hundred Ninety Four Crores Nine Lakh Forty Seven Thousand Thirty Four and Seventy Six Paise). The details with regard to the Principal amount due, unapplied interest, penal interest and total dues as on 31.12.2017 have been placed on record (Annexure-6). The details of aforesaid heads as given in Annexure-6 are as under:- As on 31.10.2017 Principal Amount Due Unapplied Interest Penal Interest Total Dues Original Term Loan - Rs. 300 Crs. 2,830,758,012.00 650,440,144.81 251,751,670.83 3,732,949,827.64 Cost Overrun I TL - Rs. 75 Crs. 712,219,778.00 159,815,562.39 45,532,277.48 917,567,617.87 Cost Overrun II TL - Rs. 30 Crs. 225,409,532.00 49,340,453.96 15,679,603.29 290,429,589.25 Total 4,940,947,034.76 7. The details of the security held by, or created for the benefit of 'financial creditor'- State Bank of In....
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....ecord which relate to aforesaid three account numbers of the Corporate Debtor in which financial debt were transferred by the Financial Creditor certifying the statement of accounts of the Corporate Debtor consist of printouts of data stored in various forms (Annexure-10). 10. The Financial Creditor has also attached other documents as well in order to prove the existence of financial debt, the amount and date of default. Those documents are as under:- "(i) The account statements of the following accounts numbers of the Corporate Debtor, maintained with the Financial Creditor, are annexed here as Annexure-11 (Colly.): a. A/c No. 31523043712 : Original Loan Agreement - Common Loan Agreement dated 30.09.2010 among Corporate Debtor, inter alia the Financial Creditor and Axis Bank (as Lender's Agent) b. A/c No. 33830168771 : Cost Overrun I - Common Loan Agreement (185 MW Coal based thermal power project amongst Corporate Debtor and inter alia Financial Creditor dated 28.03.2014 amended on 24.06.2014 and 06.07.2015 c. A/c No. 35110520027 : Cost Overrun II - Common Loan Agreement (18....
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.... affidavits may be sworn or affirmed, bonds may be signed, sealed and delivered, and generally all other documents connected with legal proceedings may be made and completed on behalf of the State Bank of India by the Chairman or by any officer or employee empowered by or under Regulation 76 to sign documents for and on behalf of the State Bank. According to Regulation 76 the managing directors (deputy managing director), the chief general manager and such other officers and employees of the State Bank as may be authorized in this behalf by the Central Board or the Executive Committee have been authorized to sign all documents, instruments, accounts, receipts etc. It is pertinent to notice that a notification dated 27.03.1987 was issued (at page 28) authorising all officers in the Grade of Senior Management Grade Skill-IV (SMGS-IV) and above to exercise the signing power to sign all documents, instruments, accounts, receipts, letter and advices etc. connected with the current or authorized business of the Bank in respect of all matters coming in discharge of functions of the posts held for the time being. Accordingly, the present petition has been signed by one Mr. Virendra Kumar S....
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.... to sign all documents, instruments, accounts, receipts, letters and advices connected with the current or authorised business of the State Bank etc. Therefore section 27 read with regulation 77 do not leave any manner of doubt that the chairperson is clothed with the power to exercise all such powers and to do all such acts as may be exercised by the State Bank. It is irrespective of the notification dated 27.3.1987. 15. We have carefully considered the rival contentions and are of the view that the objection does not warrant acceptance and the same is liable to be overruled. The Chairperson has been conferred with the power to exercise all such powers and to do all such acts and things as may be exercised or done by State Bank subject of course to such general or special directions as the Central Board may give. This provision needs to be read with Regulation 77. Both the provisions of Section 27 and Regulation 77 are set out below in extenso :- "27. Powers and remuneration of chairman.-(1) The Chairman shall preside at all meetings of the Central Board and, subject to such general or special directions as the Central Board may give, exercise all such powers and do al....
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....he Joint Lender Forum dated 1.9.2017 (page 120) and 7.9.2017 (Page 127) to argue that the efforts by Joint Lender Forum were being made and there was hope of settlement till the last minute. However, without waiting for expiry of six months as directed by Reserve Bank of India letter dated 13.6.2017 the instant petition has been filed on 20.11.2017. Learned counsel has placed reliance on the observation made by Hon'ble Supreme Court in para 28 of the judgment in the case of Innoventive Industries Ltd. v. ICICI Bank and Ors. Company appeal (AT) (Insolvency) Nos. 1 & 2 of 2017 decided on 15.5.2017. 18. Ms. Pallavi Shroff learned counsel for the petitioner has however argued that the Joint Lender Forum has rejected the Resolution Plan. Reliance has been placed on the averments made in various paras of the rejoinder. It has been pointed out that there is no precondition of exhausting the remedies before approaching the NCLT with a prayer for triggering of Corporate Insolvency Resolution Process. Learned counsel has drawn our attention to the observations made by Hon'ble High Court of Gujarat in Essar Steel India Ltd. v. Reserve Bank of India (MANU/GJ/1563/2017). Ms. Shroff has furth....
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....e do not find any substance in the argument raised on behalf of the respondent and reject the same. 20. Mr. Chaudhary has raised another objection in respect of choice of the Interim Resolution Professional. The argument raised was that the Interim Resolution Professional suggested by the Financial Creditor is a partner from the Deloitte Touche and another partner from the same firm namely Deloitte Touche has been working as Interim Resolution Professional in the matter of Bhushan Steel Limited. According to the learned Senior counsel there is conflict of interest between Bhushan Steel Limited and Bhushan Energy Limited with regard to tariff rates as the Corporate Debtor used to supply power to Bhushan Steel Limited. It was emphasised that there is a valid apprehension that two Interim Resolution Professionals who are partners in the same firm namely Deloitte Touche would not be able to act independently to take care of interest of their respective companies. In order to enable the Financial Creditor to overcome the aforesaid objection we have granted time to the Financial Creditor vide order dated 13.12.2017 and extended the time further by order dated 15.12.2017. 21. At the....