2020 (3) TMI 1045

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.... 1514/I&BC/NCLT/MB/MAH.2017. By the operative part of the order so passed, the Tribunal has directed concerned authorities to lift the attachment of the properties in question so that they can be put to sale by the liquidator and thereupon the sale proceedings be distributed under Section 53 of the I&B Code in order of priority prescribed therein. 2 Mr.Kamal Trivedi, learned Advocate General, while assailing this order of the Tribunal made the following submissions: (a) Inviting my attention to a petition filed by the State against the Allahabad Bank, in which, the State had contended that it had first charge over all the properties and assets in view of Section 48 of the Gujarat VAT Act, 2003, and which petition is still pending, the....

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....interference is not judicially permissible......." In other words, according to the learned Advocate General, the Tribunal was conscious of the fact that the attachment of the State was prior to coming into force of the I&BC and therefore, interference in such attachment was impermissible. (c) By an order dated 31.12.2018, the N.C.L.T ordered liquidation of the Company. It also directed that the liquidator shall co-ordinate with all authorities and the respected government authorities shall provide complete information to facilitate liquidation process. The order made it clear that the attachment of a property is a first step of law to secure the property to avoid any apprehension of sale or dispose of by any means, however, the final....

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.... which was under consideration was the amended section 178(6) by which sub-section 6 of section 178 provided that the provisions of this section shall have effect notwithstanding anything to the contrary contained in any other law for the time being in force except the provisions of the Insolvency & Bankruptcy Code, 2016. According to the learned Advocate General, subsection (6) of section 178, as it stood prior to its amendment read to the effect that the provisions of section 178 shall have effect notwithstanding anything to the contrary contained in any other law for the time being in force. 4 A fine distinction is drawn to this provision as compared to Section 48 of the Gujarat Value Added Tax Act, 2003, by which the section provided....