2020 (12) TMI 1054

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.... in this regard was disposed of by this Authority vide its order dated 06.08.2020 by directing the Successful Resolution Applicant to submit amended Resolution Plan within two days from the date of our order. Such amended Resolution Plan has been submitted. 2. The facts, in brief, are that the Corporate Debtor was admitted in CIRP by allowing the application filed by the Operational Creditor u/s 9 of IBC, 2016. Order of admission was passed by this Authority on 12.11.2018 under which moratorium was declared. Corporate Insolvency Resolution Process was initiated and Mr. Narayan Gajanan Vidvans was appointed as Interim Resolution Professional ( "IRP" in shot). IRP published public announcement, collated claims received from the creditors and constituted CoC. The CoC was constituted on 07.12.2018 which comprised of only one Financial Creditor, namely, Bank of Baroda having 100% voting. The CoC replaced IRP and appointed new Resolution Professional ("RP" in short) which was confirmed by this Authority vide its order dated 19.06.2019. The CoC in its meeting held on 07.05.2019 approved the proposal for exclusion/extension of CIRP period by 90 days which was granted by this Authority v....

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....nting Unsecured Financial Creditors 0 0 0 NA     4 Other Unsecured Financial Creditors (Related Party & Corporate Guarantor) 43,40,57,430 38,93,93,854 0 NA     5 Operational Creditor 8,74,42,019 3,58,72,086 16,02,791 4.47%     Government 44,63,16,588.5 39,68,81,723.5 86,27,208 2.17%       Workmen 7,18,833 4,17,347 4,17,347 100.00%       Employees 0 0 0 NA       Other Debts and Dues 0 0 0 NA       Total 1,62,60,71,728 1,48,01,01,796 42,65,87,347 28.82%   6. Learned Counsel for the successful Resolution Applicant appeared and narrated the basic facts. He drew our attention to the Resolution Plan in detail. Based upon the contents of the Plan, it was submitted that approved Resolution Plan complied with all the requirements of Section 30(2) of IBC, 2016 and r.w. relevant Regulations made thereunder. It was also submitted that Resolution Plan had been filed before the expiry period of CIRP as extended from time to time.....

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....rovides the details of financial capabilities of the successful Resolution Applicant. The Resolution Plan also provides implementation schedule as under:     Action Timeline     Capital Reduction of the existing equity share capital to ZERO Effective Date     Subscribing to equity shares and optionally convertible debentures to be issued by the Corporate Debtor and Inter-corporate Deposits Within 60 Days of the approval of by NCLT Order     Payment to Workmen Dues Within 60 Days of the approval of by NCLT Order     Payment to CIRP Cost Within 60 days of the approval of by NCLT Order     Payments to Financial Creditors Within 60 Days of the approval of by NCLT Order     Payment to Statutory Dues and Operational Creditors Within 60 Days of the approval of by NCLT Order 9. It is provided that existing equity would be written down to zero and Resolution Applicant would infuse funds to the tune of Rs. 17,72,80,000/- by way of Equity and take control of 100% stake in the Corporate Debtor. For this purpose, following steps have been provided....

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....n the Corporate Debtor and its employees, members, creditors, guarantors and other stakeholders involved in the Resolution Plan including Resolution Applicant. 13. The permission for reduction of capital, as approved in the Resolution Plan is also granted. Accordingly, the MoA and AoA shall be amended and filed with the RoC for information and record as prescribed. 14. As regards to the Relief and concessions sought for, by the Resolution Applicant which have been mentioned in Annexure 5 of Resolution Plan, we are of the opinion that the Resolution Applicant may approach/have all liberty to approach the concerned statutory/competent authority for any concession, waiver or exemption as per prevailing law(s) of the land. It is needless to mention herein that approval of the Resolution Plan does not mean automatic waiver or abetment of legal proceedings, if any, which are pending by or against the Company/Corporate Debtor as those are the subject matter of the concerned Competent Authorities having their proper/own jurisdiction to pass any appropriate order as the case may be. 15. Resolution Plan stands modified to the extent of our direction given in this order and to be rea....