TaxTMI 
TaxTMI 
TaxTMI 
2019 (12) TMI 1352
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.... 54(2) of the Code; B. This Hon'ble Tribunal may be pleased to release the closing balance in liquidation bank account and fixed Deposit Account to stakeholders/Liquidation expenses as per Section 53 of the Code. C. The Hon'ble Tribunal be pleased to discharge the Liquidator (Mr. Premraj Laddha) from his duty as Liquidator of the Corporate Debtor." 2. At the outset, it is gathered from the records that New Tech Forge & Foundry Limited (Corporate Applicant) had filed an application under Section 10 of the Insolvency and Bankruptcy Code, 2016 for initiation of Resolution Process before the Adjudicating Authority, wherein as per the orders dated 29.05.2017 of this Adjudicating Authority, Corporate Insolvency Resolution Process was initiated against the Corporate Debtor, moratorium declared and Mr. Arun Kumar Malani was appointed as Interim Resolution Professional. 3. The Interim Resolution Professional convened the first meeting of the Committee of Creditors on 28/06/2017 and in the second meeting held on 17/08/2017, it was resolved that the Interim Resolution Professional be replaced by Mr. Premraj Ramratan Laddha as a Resolution Professional. Accordingly, this Adjudica....
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....ys from the liquidation commencement was prepared and submitted before the Adjudicating Authority on 26/02/2018. f) The Liquidator had appointed the following professionals in accordance with the regulation of Insolvency and Bankruptcy Board of India Regulations, 2016 - i. HSVJ & Co., - A firm of Chartered Accountants were appointed for audit of accounts of liquidator's receipt & payment for the financial year 2017-2018. ii. C.C. Gandhi & Co., Advocates - Law Firm iii. E-Procurement Technology Private Limited - for advertisement and auction service provider. iv. Mr. P.R. Sathwara- Advocate was appointed for search of Revenue Records. g) Thereafter the Liquidator had made a public announcement on 13/02/2018 in two newspapers as per the Regulation 31 of Insolvency and Bankruptcy Board of India Regulations, informing the list of stakeholders filed before the NCLT, Ahmedabad Bench. Accordingly, on 10/02/2018, the Liquidator published an e-auction sale notice in two daily newspapers and invited bids for the factory premises including land and building and plant and machineries lying in the premises of the Corporate Debtor. Further, the Liquidator had categorically also i....
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....rporate Debtor. l) Thereafter, in the meeting of stakeholders held on 20/09/2018, it was decided to distribute an amount of Rs. 60.00 Lakhs in following manner - Sr. No. Secured Creditor Amount(Rs. ) 1. State Bank of India 30,60,600/- 2. Oriental Bank of Commerce 10,67,400/- 3. Corporation Bank 10,92,000/- 4. International Asset Reconstruction Company 7,80,000/- Total 60,00,000/- Further, the balance amount was to be kept in the liquidation bank account for liquidation expenses and contingent liability. m) List of Stakeholders on the basis of claims received and paid Secured Financial Creditor SBI, OBC, Corp. Bank, IARC Amount claimed Amount admitted Amount Paid Percentage of admitted claim paid 510,77,57,770/- 139,60,32,395/- 35,60,00,000/- 25.5% Operational Creditor unsecured Amount claimed Amount admitted Amount Paid Percentage Darci Logistics Ltd., Paschim Gujarat Vij Company Ltd., Newtech Fitting Pvt. Limited, State Tax D....
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.... V/s. Premraj Ramratan Laddha & Ors. viii. IA 143 of 2019 in CP(IB) 21 of 2017 before this Adjudicating Authority filed by Haq Steel and Metalik Pvt. Ltd., V/s. New-Tech Forge and Foundry Ltd. 6. Before proceeding further, the liquidator has taken up the pending IAs consecutively - 6.1 IA 128 of 2018 in CP(IB) 21 of 2017 - The said Interlocutory Application has been filed by Mr. Rasikbhai G. Patel and 5 Ors. being Personal Guarantors of Corporate Debtor against the Liquidator, submitting that since the Corporate Debtor is passing through liquidation, the personal guarantors are also unable to discharge any obligation qua the loans given by the Financial Creditors to the Corporate Debtor and as such the Applicants are willing to proceed further for initiation for their own insolvency., so as to get discharged by due process of law and to have a fresh start. The Respondent No. 2, State Bank of India filed affidavit in reply to the said application and submitted that the personal guarantor of Corporate Debtor cannot invoke Section 94 of the Code and is not eligible to make the present application. Subsequently, the Applicants filed rejoinder and reiterated that this Adjudicating ....
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....e order of the Respondent No. 1 dated 26.06.2018 and to consider the unpaid dues of the Applicant as secured dues towards Government outstanding. It is submitted that the appeal is preferred against the reply of Respondent No. 1 dated 26.06.2018, wherein it is informed that the State Tax Officer (3), Applicant herein will be received nil amount in liquidation process. It is submitted that since the outstanding dues are protected by provision of Section 48 of Gujarat Value Added Tax Act, 2003 and further Government dues override other dues and the Applicant also possess charge on the immovable assets of the Respondent No. 2, M/s. New Tech Forge and Foundry Ltd., for securing government dues, the Applicant presumably falls within the category of secured creditor as per the interpretation of Section 3(30) & 3(31) of the Insolvency and Bankruptcy Code, 2016. The Liquidator has filed the affidavit in reply to the appeal filed by the Applicant on 26.03.2018, wherein it is submitted that the last date of submission of claim before IRP was 14.06.2017, whereas the Applicant has lodged the claim on 25.01.2018 and the liquidator cannot accept the claim filed after the time mentioned in the p....
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.... lands and buildings are bounded as follows: 1. Survey Nos. 529/1, 529/2, 530, 531 On North Cart Track On South National Highway On East Survey Nos. 535/1, 532/2 On West Cart Track 2. Survey Nos. 535/1, 532/2 On North National Highway On South Agriculture land of others On East Hotel Ashirvad On West Hotel Royal The State Tax Officer (3), Respondent No. 2 herein, has filed its reply on 13.03.2019, submitting to dismiss the application filed by the Applicant and praying this Adjudicating Authority to direct the Liquidator to compensate for payment of dues towards Respondent No. 2 as secured creditor and for contravention of rights as provided by Section 52 of the Code. 7. On 22.07.2019, the Director of the suspended Board of Corporate Debtor, Shri Rasiklal Ghusabhai Patel has filed his reply to the said IA, wherein he submitted his no objections to the dissolution applicant filed by the Applicant. 8. The liquidator has filed its final report dated 20/04/2019 in consultation with stakeholders dated 12/04/2019 alo....
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....8419 358810000 10.3 It is further stated in the report that the estimated time of sale of liquidation estate will be two months through e-auction process and the estimated liquidation cost was Rs. 20.00 Lakhs. 11. As per the bank book maintained by the liquidator and Bank statement account period commencing from the date of liquidation upto 20.04.2019 shows that balance in Liquidation Bank Account with State Bank of India as on 20.04.2019 is Rs. 2,07,197/-. Further, the bank statements also furnish details/particulars of payment made towards liquidation fees, legal charges, various cost incurred during the liquidation process, payment to various creditors and Income Tax liabilities of the company. 12. The Final Report dated 20.04.2019 (page 217 to 219 of the paper book) has been annexed as Annexure ZB on the liquidation accounts of the company, shows receipts and payments pertaining to liquidation since liquidation commencement date i.e. 12.12.2017 till 20.04.2019. It is further recorded in the auditor's Final Report that: 12.1 It is stated that old bank accounts of the Corporate Debtor maintained were closed and new account in the name of 'New-tech forge and Foundry ....
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....esent petition seeking for Dissolution of the company. 16. Appeal bearing No. 591080 preferred by the Corporate Debtor before CIT, Rajkot against the assessment order for AY 2009-2010 under Section 143(3) read with 147 of Income Tax Act. Claim was submitted by the Income Tax Deptt. against the Corporate Debtor for assessment year 2009-10. 17. Appeal bearing No. 334911 preferred by the Corporate Debtor before CIT, Rajkot against the assessment order for AY 2012-2013 under Section 143(3) read with 147 of Income Tax Act. Claim submitted by the Income Tax Dept. to the Liquidator for the assessment year 2012-13. 18. Appeal No. 2 of 2019 in CP(IB) 21 of 2017 before this Adjudicating Authority filed by State Tax Officer V/s. Premraj Ramratan Laddha & Ors. The said application is filed by the State Tax Officer (3), Applicant herein seeking condonation of delay of 220 days in preferring the appeal under Section 42 of IBC Code challenging the order dtd: 26.06.2018 passed by the Liquidator under Section 40 whereby, the claim of the appellant has been accepted but, announcing the received amount of claim as Nil. 19. Appeal No. 3 of 2019 in CP(IB) 21 of 2017 before this Adjudicating Authori....
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....dues owed to employees other than workmen for the period of twelve months preceding the liquidation commencement date; (d) financial debts owed to unsecured creditors; (e) the following dues shall rank equally between and among the following:--(i) any amount due to the Central Government and the State Government including the amount to be received on account of the Consolidated Fund of India and the Consolidated Fund of a State, if any, in respect of the whole or any part of the period of two years preceding the liquidation commencement date; (ii) debts owed to a secured creditor for any amount unpaid following the enforcement of security interest;................." Further, the Hon'ble Supreme Court in Committee of Creditors of Essar Steel India Limited v. Satish Kumar Gupta and Ors., Civil Appeal No. 8766-67 of 2019 held a view with regard to the priorities of claims and the position of the Secured Financial Creditors, Operational Creditors etc., in distribution of assets of the Corporate Debtor. The dues of the Government are not considered as a secured debt under Section 3(31) of the Code, do not get precedence over secured creditors under Section 53 and do not fall in Cl....
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....ithdrawal purshish, seeking withdrawal of his application and sought liberty to file fresh application before this Adjudicating Authority. The said purshish was accepted by this Adjudicating Authority and the I.A. No. 128 of 2018 is dismissed as withdrawn. 27. The prayer of the State Tax Officer to direct the liquidator to compensate the payment of dues towards State Tax Officer is not allowed as there is no assets available to fully satisfy the secured financial creditor's admitted claim amount. 28. M/s. Haq Steel & Metallik Private Ltd., erstwhile M/s. Haq Enterprises Pvt. Ltd., bought the property being Land(factory premises) through e-auction as the highest bidder and paid Rs. 35.70 Crores. The State Bank of India, being the lead bank of the secured lenders was in possession of the assets of the Corporate Debtor pursuant to the various proceedings initiated under the SARFAESI Act and all the lenders relinquished their security interest in the assets of the Corporate Debtor under Section 52 of the Code. The said e-auction was being monitored by the Financial Creditor, SBI and Corporation Bank on behalf of all stakeholders. The proceeds have been distributed as per Section ....