TaxTMI 
TaxTMI 
2019 (10) TMI 373
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.... Star House, C-5, G-Block, Bandra-Kurla Complex (East) Mumbai and having Identification No. AAACB472C(PAN). 3. M/s. Rai Homes Universal Private Limited is a company incorporated under the Companies Act, 1956 on 27th February, 2012, having Identification No. U45200MP2012PTC027822, having its registered office at Plot No. 244, First Floor, Near Hotel Arch Manor, M P Nagar Zone - 1, Bhopal 462 001, Madhya Pradesh. That, authorised share capital of the respondent company is Rs. 50,00,000/- and paid up share capital is Rs. 50,00,000/-. That, the respondent company is engaged in the business of construction and development of properties (housing projects). 4. That, the applicant/financial creditor has submitted that the respondent company had approached the applicant for financial assistance by way of term loan for housing project named "Rai Pink City", Phase - II, at Satgadhi Choraha, Village Borda, Lolar Road, Bhopal and also submitted financial data and other particulars with loan application on 11.07.2013 for a sum of Rs. 5.00 crores by way of project loan. That, pursuant to the request made by the respondent company and considering the project, the petitioner bank had sanction....
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....rdue amount as well as interest accrued thereon, the respondent failed and neglected to do so. That, under such circumstances, account of the respondent company was classified as NPA on 30.06.2016 as an amount of Rs. 2,85,05,289.00 fell due. That, number of flats appears to have been sold by the respondent company, however, the respondent company failed to deposit the sale proceeds with the bank and have committed breach of terms and conditions as well as default in repayment of the dues and interest. 7. The applicant/financial creditor has further submitted that pursuant to the account classified/transferred as NPA on 30.06.2016, the applicant bank served upon the respondent company notice under section 13 (2) of the SARFAESI Act on 11.11.2016 and called upon the respondent company to repay a sum of Rs. 3,37,61,236/- with further interest within 60 days from the date of notice, however, the respondent company failed and neglected to repay the dues. That, the petitioner bank has performed its part of contract by advancing/making disbursements and also co-operated the respondent company and also sufficient opportunities has been given to repay the dues and to regularise the accou....
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..... 500.00 lakhs and with the financial assistance received from the bank the company had completed construction of 234 residential flats. That, possession of these flats were given and payment of approximately Rs. 3.50 crores were made to the petitioner bank out of the proceeds of these flats. That, after completion of 234 flats, the respondent again applied for second loan of Rs. 500.00 lakhs and on assurance provided by the petitioner bank and in anticipation of approval and sanction of the second loan, the respondent continued to carry on construction of another 144 flats. That, as the petitioner bank disapproved the second loan for want of additional security and, as the respondent does not own any other property other than the ones already offered to the petitioner bank, the respondent could not avail any finance from any other financial institution either. That, because of unavailability of funds, construction of new flats got halted and the respondent had to repay approximately Rs. 80.00 lakhs to the customers who had paid booking amount since the respondent company was declared NPA. 10. The respondent has also submitted that the steps taken by the petitioner bank for init....
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....also furnished in the prescribed form - 1 of the Rules and the prescribed fee has also been paid. Along with the application, the applicant proposed the name of the Resolution Professional namely CA Amresh Shukla. Though the applicant/financial creditor has recommended the name of CA Amresh Shukla to act as IRP the Adjudicating Authority has reservation in appointing him as IRP considering his past conduct in the open court in another matter. Therefore, the applicant/financial creditor is directed to suggest name of some other professional, within one week, by way of an affidavit. The order of moratorium shall have effect from the date of receipt of the affidavit. 16. On perusal of record and as also discussed above, it is held that there is existence of default and that the application under Section 7(2) of the Code is also complete in all respect. 17. In view of the above, the petitioner/financial creditor having fulfilled all the requirements of Section 7 of the Code, the instant petition deserves to be admitted. 18. The petition is, therefore, admitted and the moratorium is declared for prohibiting all of the following in terms of sub-section (1) of Section 14 of the C....