2019 (8) TMI 529

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....DHAYA, J. This appeal has been preferred by the Appellant against the order dated 11th October, 2018 passed by the Adjudicating Authority (National Company Law Tribunal), Mumbai Bench, Mumbai, in the matter of "State Bank of India Vs. Calyx Chemicals & Pharmaceuticals Ltd.", whereby the Adjudicating Authority directed the 'Dena Bank' to handover the possession of the mortgaged property in question. 2. In the 'Corporate Insolvency Resolution Process' against 'Calyx Chemicals & Pharmaceuticals Ltd.', 'Dena Bank' filed an application for interim order to restrain the 'Interim Resolution Professional' from demanding the custody of the property, as referred below: "DESCRIPTION OF THE PROPERTIES MORTGAGED Address of the Property/ security ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... an undisputed fact. 5. It was pleaded that the 'Resolution Professional' was putting pressure to hand over the physical possession back to him, although the 'Corporate Debtor' on whose behalf the 'Resolution Professional' is commencing Insolvency Proceedings had already ceased to be the owner of the said property having no physical control on the said property. 6. The 'Moratorium' had commenced on admission of the case w.e.f. 6th February, 2018 pursuant to an application moved by the 'State Bank of India' under Section 7 of the 'I&B Code'. It was in this background, it was pleaded by 'Dena Bank' that physical possession was taken over before the date of commencement of 'Moratorium'. Therefore, the 'Resolution Professional' should not h....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... operations of the corporate debtor for determining the financial position of the corporate debtor, including information relating to- (i) business operations for the previous two years; (ii) financial and operational payments for the previous two years; (iii) list of assets and liabilities as on the initiation date; and (iv) such other matters as may be specified; (b) receive and collate all the claims submitted by creditors to him, pursuant to the public announcement made under sections 13 and 15; (c) constitute a committee of creditors; (d) monitor the assets of the corporate debtor and manage its operations until a resolution professional is appointed by the committee of creditors; (e) file information collected ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....party in possession of the 'Corporate Debtor'. 13. It is not the case of the Appellant that the title of the assets has already been transferred or they have sold the assets in terms of Section 13(4) of the 'SARFAESI Act, 2002'. It is also not the case of the Appellant that the assets owned by a third party is in possession of the 'Corporate Debtor' in terms of Section 18, as it is the duty of the 'Interim Resolution Professional' to take control and custody of any asset over which the 'Corporate Debtor' has "ownership rights" as recorded in the balance sheet of the 'Corporate Debtor'. Even if it is not in possession of the 'Corporate Debtor', a person who is in possession of the same, including the 'Dena Bank' or 'Encore Asset Reconstruc....