TaxTMI 
TaxTMI 
2019 (3) TMI 1286
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.... 'Eight Finance Pvt. Ltd.' and 'Pennar Industries Ltd.' in respect of the 'corporate insolvency resolution process' initiated against 'Hindustan Dorr- Oliver Limited' (Corporate Debtor) and 'HDO Technologies Limited' (other Corporate Debtor) wherein opportunity was given to them to submit better revised resolution plan(s) and the 'Committee of Creditor(s)' were directed to consider them. Subsequently, the 'resolution applicant(s)' namely 'Eight Finance Pvt. Ltd.' and 'Pennar Industries Ltd.' withdrawn their appeals. In the aforesaid background and there being no 'resolution plan', we are not inclined to interfere with the impugned order(s) both dated 25th June, 2018 whereby order(s) of liquidation has been passed against 'Hindustan Dorr-Oliver Limited' (Corporate Debtor) and 'HDO Technologies Limited' (other Corporate Debtor). 3. Learned counsel appearing on behalf of the Management (Appellant) submitted that the 'Liquidator' is supposed to keep the companies as 'going concern' even during the period of liquidation. If so necessary, the 'Liquidator' can take steps under Section 230 of the Companies Act, 2013 after consultation with the 'members' or 'the creditors' of the Companies....
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....on, and also protects all its creditors and workers by seeing that the resolution process goes through as fast as possible so that another management can, through its entrepreneurial skills, resuscitate the corporate debtor to achieve all these ends." In 'Arcelormittal India Pvt. Ltd. vs. Satish Kumar Gupta & Ors.' at paragraph 83, footnote 3 is mentioned. The Hon'ble Supreme Court noticed that : "3. Regulation 32 of the Insolvency and Bankruptcy Board of India (Liquidation Process) Regulations, 2016, states that the liquidator may also sell the corporate debtor as a going concern." 6. In 'Meghal Homes Pvt. Ltd. vs. Shree Niwas Girni K.K. Samiti & Ors. - (2007) 7 SCC 753" the Hon'ble Supreme Court observed and held as follows: "33. The argument that Section 391 would not apply to a company which has already been ordered to be wound up, cannot be accepted in view of the language of Section 391(1) of the Act, which speaks of a company which is being wound up. If we substitute the definition in Section 390(a) of the Act, this would mean a company liable to be wound up and which is being wound up. It also does not appear to be necessary to restrict the scope of that provision c....
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....ceedings against the company; (b) reduction of share capital of the company, if any, included in the compromise or arrangement; (c) any scheme of corporate debt restructuring consented to by not less than seventy-five per cent. of the secured creditors in value, including- (i) a creditor's responsibility statement in the prescribed form; (ii) safeguards for the protection of other secured and unsecured creditors; (iii) report by the auditor that the fund requirements of the company after the corporate debt restructuring as approved shall conform to the liquidity test based upon the estimates provided to them by the Board; (iv) where the company proposes to adopt the corporate debt restructuring guidelines specified by the Reserve Bank of India, a statement to that effect; and (v) a valuation report in respect of the shares and the property and all assets, tangible and intangible, movable and immovable, of the company by a registered valuer. (3) Where a meeting is proposed to be called in pursuance of an order of the Tribunal under sub-section (1), a notice of such meeting shall be sent to all the creditors or class of creditors and to all the members or clas....
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....tions, if any, to be made by them shall be made within a period of thirty days from the date of receipt of such notice, failing which, it shall be presumed that they have no representations to make on the proposals. (6) Where, at a meeting held in pursuance of sub-section (1), majority of persons representing three-fourths in value of the creditors, or class of creditors or members or class of members, as the case may be, voting in person or by proxy or by postal ballot, agree to any compromise or arrangement and if such compromise or arrangement is sanctioned by the Tribunal by an order, the same shall be binding on the company, all the creditors, or class of creditors or members or class of members, as the case may be, or, in case of a company being wound up, on the liquidator appointed under this Act or under the Insolvency and Bankruptcy Code, 2016, as the case may be, and the contributories of the company. (7) An order made by the Tribunal under sub-section (6) shall provide for all or any of the following matters, namely:- (a) where the compromise or arrangement provides for conversion of preference shares into equity shares, such preference shareholders shall ....