2019 (2) TMI 601

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....ar Mohanty, Senior Panel Central Govt. Counsel and Ms. P.S. Chandralekha, Advocate. JUDGMEN T SUDHANSU JYOTI MUKHOPADHAYA, J. Pursuant to an application under Section 7 of the Insolvency and Bankruptcy Code, 2016 ('I&B Code' for short) filed by the 'State Bank of India'- ('Financial Creditor'), the 'Corporate Insolvency Resolution Process' was initiated against 'Monnet Ispat & Energy Ltd.'- ('Corporate Debtor'). 2. Much before filing of the application under Section 7, the Government of India, Ministry of Coal, reached 'Coal Mines Development and Production Agreement' dated 2nd March, 2015 with the 'Corporate Debtor' and vesting order 104/18/2015/NA dated 23rd March, 2015 was issued in favour of the 'Corporate Debtor' in respect....

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....terminate the 'Coal Mines Development and Production Agreement'. 7. For determining the issue, it is desirable to refer the relevant documents, including the 'Coal Mines Development and Production Agreement' dated 2nd March, 2015, which reads as follows: "THE COAL MINE DEVELOPMENT AND PRODUCTION AGREEMENT BY AND BEWTEEN THE PRESIDENT OF INDIA AND M/S MONNET ISPAT & ENERGY LIMITED IN RESPECT OF GARE PALMA-IV/7 COAL MINE This Coal Mine Development and Production Agreement is made by and between following: PARTIES: 1. The President of India, acting through the Central Government represented by the Nominated Authority appointed under Section 6 of the Coal Mines (Special Provisions) Ordinance, 2014) read with Coa....

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.... Lease in the name of the Successful Bidder." 8. The 'Coal Mines Development and Production Agreement' dated 2nd March, 2015 shows that the President of India acting through the Government of India reached the agreement with 'Monnet Ispat & Energy Ltd.'- ('Corporate Debtor'), the 'Corporate Debtor' being the successful bidder. The conditions for vesting has been shown in Clause 3 which is subject to compliance of all the eligibility conditions, payment of upfront amount in installments and furnishing of performance security etc. Completion of vesting condition and notice has been shown therein. 9. Post vesting obligations have been shown in Clause 5 which includes payment of the upfront amount in installments. At Clause 5(3), it is me....