TaxTMI 
TaxTMI 
2018 (6) TMI 763
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....ocate ORDER These appeals have been preferred by the State Bank of India against common order dated 23rd January, 2018 passed by the Adjudicating Authority (National Company Law Tribunal), Division Bench, Chennai, which reads as follows: "All the petitions have been filed by the applicant/financial creditor/State Bank of India for recovery of the financial credit extended to the Corporate Debtor M/s. Brilliant Alloys Private Limited vide order No. CP/582/(IB)/CB/2017 dt.28.09.2017 the moratorium under Sec. 14 of the IBC 2016 was declared and Shri.Martin S.K.Golla was appointed as an Interim Resolution Professionals and in the meantime the financial creditor has sought to move this Tribunal under Section 60(2) of the IBC to initiate the....
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.... 31 or passes an order for liquidation of corporate debtor under Section 33, as the case may be. With the aforesaid directions/observations, both the writ petitions are disposed" In view of this, the financial creditor/SBI should not proceed against the personal guarantors till the moratorium period comes to an end or till the adjudicating authority approves a resolution plan under Sub Section 1 of Section 31 or passes an order for liquidation of corporate debtor under Section 33. In terms of the above, all the five CP/703/IB/2017, CP/704/1B/2017, CP/705/1B/2017, CP/706/1B/2017, CP/707/1B/2017 are disposed of. There will be no order as to costs." 2. Learned counsel appearing on behalf of the Appellant submits that the aforesaid dire....
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....e Debt Recovery Tribunal as contemplated under Part III of this Code for the purpose of sub-section (2). 14. Section 14 of the 'I&B Code' empowers the Adjudicating Authority to declare 'Moratorium' for prohibiting all of the matters as stipulated thereunder and quoted below: "14. Moratorium. ─ (1) Subject to provisions of sub-sections (2) and (3), on the insolvency commencement date, the Adjudicating Authority shall by order declare moratorium for prohibiting all of the following, namely:- (a) the institution of suits or continuation of pending suits or proceedings against the corporate debtor including execution of any judgment, decree or order in any court of law, tribunal, arbitration panel or other authority; (b) trans....
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....ution of suits or continuation of pending suits or proceedings against the 'Corporate Debtor' are prohibited from proceedings, in terms of clause (b) of sub- section (1) of Section 14 of the 'I&B Code', transfer, encumbrance, alienation or disposal of any of its assets of the 'Corporate Debtor' and/ or any legal right or beneficial interest therein are prohibited. Clauses (c) & (d) of sub-section (1) of Section 14 of the 'I&B Code' prohibits recovery or enforcement of any security interest created by the corporate debtor in respect of its property including the property occupied by it or in the possession of the 'Corporate Debtor'. 16. Sub-section (1) of Section 31 relates to 'approval of resolution plan', which reads as follows: - "31....