2020 (2) TMI 1331

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....e Debtor) to start Corporate Insolvency Resolution Process (in short "CIRP") of the Corporate Debtor as the Corporate Debtor committed default in paying Financial debt of Rs. 17,92,12,74,701/- (Rupees One Thousand Seven Hundred Ninety-Two Crore Twelve Lakh Seventy-Four Thousand Seven Hundred One). 2. This Adjudicating Authority by order dated 28.06.2019 had rejected the application holding that the proceeding was filed by the State Bank of India on the basis of Reserve Bank of India Circular dated 12.02.2018 and that Circular was declared to be bad in law by Hon'ble Supreme Court in case of Dharani Sugars & Chemicals Ltd. Vs. Union of India & Ors. (Transfer Case (Civil) 66 of 2018). 3. However, while rejecting application on above tec....

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..... In that application, we appointed Chairperson directing him to hold the meeting of the creditors and shareholders of the Corporate Debtor and file report. Chairperson filed report stating that for want of time, meeting could not be held. It is also seen from the record that one of the creditors filed appeal bearing no. Company Appeal (AT) (Insolvency) No. 65 of 2020 against our order of rejection of its prayer for postponement of the date of the meeting. That appeal is still pending.  7. Be that as it may. We hold that such meeting can be held and Scheme of Arrangement can be considered even after admission of the Corporate Debtor in CIRP and pending the CIRP process, we have already noted that Corporate Debtor did not dispute that ....

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.... encumbering, alienating or disposing of by the corporate debtor any of its assets or any legal right or beneficial interest therein; c) Any action to foreclose, recover or enforce any security interest created by the corporate debtor in respect of its property including any action under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (54 of 2002); d) The recovery of any property by an owner or lessor where such property is occupied by or in the possession of the corporate debtor. v) The supply of essential goods or services to the corporate debtor as may be specified shall not be terminated, suspended, or interrupted during moratorium period. vi) The provisions of sub-section (....