TaxTMI 
TaxTMI 
TaxTMI 
2018 (5) TMI 1832
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....iation of the corporate insolvency resolution process has been prayed for, was incorporated on February 20, 2003 having its registered office at 217, 2nd floor, Agarwal Prestige Mall, Plot No. 2, Community Centre, Along Road No. 44, Pitampura, New Delhi-110 088. Since the registered office of the respondent-corporate debtor is in Delhi, this Tribunal having territorial jurisdiction over the place is the Adjudicating Authority in relation to the prayer for initiation of corporate insolvency resolution process in respect of respondent corporate debtor under sub-section (1) of section 60 of the Code. 3. It is appropriate to mention that the applicant-Oriental Bank of Commerce is a body corporate constituted under the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980 (No. 40 of 1980) having Head Office at E-Block, Harsha Bhawan, Connaught Place, New Delhi-110 001 and branch office at Cluster Monitoring Office Resolution, Recovery and Law, 495/1, R. P. G. Towers, University Road, Mangal Pandey Nagar, Meerut-250 004. 4. Mr. Petri Rama Krishna, Chief Manager (Law) of the bank was duly authorized by Board Resolution No. A-24 dated December 16, 2017 of the applicant-b....
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....e debtor. The consortium of banks, i.e., the Indian Overseas Bank, Punjab National Bank and Oriental Bank of Commerce lastly restructured on January 2, 2015 these facilities and joint documentation for the same was done on December 9, 2015. The outstanding amount in various facilities granted by the Oriental Bank of Commerce are as under : Sl. No. Facility Amount outstanding as on December 9, 2015 (Rs. crores) 1. Cash credit (hypothecation of stocks and book debts) 13.37 2. Term Loan I+II+III 20.80 Total 34.17 9. Subsequently, as per the request of the corporate debtor the applicant financial creditor further sanctioned ad hoc facility for Rs. 2 crores for 90 days on January 29, 2015. It is claimed that the corporate debtor acknowledged the sanction of the aforesaid facilities and the same continued to be enjoyed by the corporate debtor. 10. In the application it is submitted that in respect of all facilities sanctioned by the applicant-bank to the respondent-company the outstanding towards different financial facilities as on January 11, 2018 are as follows : * Cash credit-Rs. 2,462.94 lakhs * Term Loan-I-Rs. 0.95 lakhs * Term Loan-II-Rs. 8.34 lakhs * ....
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....tium agreement dated December 9, 2015. (vii) Joint deed of hypothecation dated December 9, 2015. (viii) Copy of deed of guarantee by different directors dated December 9, 2015. (ix) Schedule of mortgaged property. (x) Letter of confirmation evidencing extension of created mortgage dated December 9, 2015 with list of deposited documents. (xi) Recall letter/demand notice under section 13(2) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 dated February 22, 2016 by lead bank. (xii) Possession notice under section 13(4) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 by lead bank. (xiii) Relevant statement of accounts in respect of cash credit and 3 term loan accounts with certificate under the Bankers' Books Evidence Act. 15. The applicant has further enclosed report of CRILC with respect to the said loan facilities sanctioned to the respondent-corporate debtor. 16. It is thus seen that the applicant "financial creditor" has placed on record voluminous and overwhelming evidence in support of the claim as well as to prove the default committed by t....
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....respondent has also raised an objection that the financial facilities to the respondent-corporate debtor was granted by the consortium of banks with the Indian Overseas Bank as lead bank and there is no privity of contract between the applicant and the respondent-corporate debtor. This objection would not detain us as section 7 of the Code itself shows that a financial creditor either by itself or jointly with other financial creditors may file an application for initiating the corporate insolvency resolution process against a corporate debtor when a default has occurred. Therefore there is no obligation to join the consortium of banks. It is pertinent to state here that the board of directors of the applicant-Oriental Bank of Commerce vide Board Resolution No. A-24 dated December 16, 2017 have decided to file a claim application for initiating the corporate insolvency resolution process against M/s. Bindals Sponnge Industries Ltd., in terms of provisions of the Code. The applicant-financial creditor has clear right to file the application under section 7 of the Code in order to recover its dues and the inter se agreement between financial creditors cannot override the said provisi....
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....t. Moreover, the application of the financial creditor is complete and there is no disciplinary proceeding pending against the proposed IRP. We are satisfied that the present application is complete and the applicant-financial creditor is entitled to claim its outstanding financial debt from the corporate debtor and that there has been a default in payment of the financial debt. 28. As a sequel to the above discussion and in terms of section 7(5)(a) of the Code, the present application is admitted. 29. Shri Dinesh Sood having registration number IBBI/IPA-002/IP-N00046/ 2016-17/110091, having address, J-Block, Vikas Puri, New Delhi-110 018 with e-mail id : [email protected] is appointed as an interim resolution professional. 30. In pursuance of section 13(2) of the Code we direct that a public announcement shall be made by the interim resolution professional immediately (3 days as prescribed by the Regulations) with regard to admission of this application under section 7 of the Code. 31. We also declare a moratorium in terms of section 14 of the Code. The necessary consequences of imposing the moratorium flows from the provisions of section 14(1)(a), (b), (c) and (d). Thus, the f....