TaxTMI 
TaxTMI 
TaxTMI 
2021 (5) TMI 18
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....seeking following reliefs: (a) Direct the respondent to accept the Expression of Interest of the Applicant as Prospective Resolution Applicant under Section 240A of IBC since Corporate Debtor is a deemed MSME. (b) Direct the Respondent and Committee of Creditors to relax the eligibility criterion requirement of minimum tangible net worth of Rs. 10 crores for the applicant/promoter of Corporate Debtor. (c) Direct the Respondent to register Corporate Debtor as an MSME in the light of Gazette Notification No. S.O 2119EUR dated June 26th 2020 regarding MSME. 2. The facts in brief are as follows: This Tribunal admitted an application filed by M/s Prayag Polytech Private Limited (Operational Creditor) vide IBA No. 52/KOB/2019 and directed....
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.... MSME, it is not necessary for the promoters to compete with other Resolution Applicants to regain the control of the Corporate Debtor. The applicant is ready and willing to submit a Resolution Plan which will maximise the value of assets of the Corporate Debtor and will ensure that the unit does not go into liquidation. In view of the above, the Resolution Professional should register the Corporate Debtor as an MSME and consider the Resolution Plan submitted by the applicant. 3. The Respondent Resolution Professional filed a counter affidavit stating that after the admission of the matter, the applicant invited Expression of Interest to submit the Resolution Plan on 18.9.2020, 3.1.2021, 24.02.2021 to which in the last EOI respondent recei....
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....en though the suspended director/applicant was permitted to attend the COC, he did not attend the same meeting. Since the applicant did not qualify the eligibility criteria, the respondent published the provisional list of prospective resolution applicants on 15.3.2021. With respect to the prayer to register the Corporate Debtor as an MSME, in the light of Gazette Notification No.2119-E dated 26th June, 2020 regarding MSME, the respondent stated that since the Corporate Debtor meets the statutory requirements and revision in the MSME criteria and it was issued after the commencement of CIRP, the RP shall act according to the direction of this Tribunal. 4. I have heard the learned counsel for the applicant and the respondent Resolution Prof....
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....) (iii) a medium enterprise, where the investment in plant and machinery or equipment does not exceed fifty crore rupees and turnover does not exceed two hundred and fifty crore rupees. Becoming a micro, small or medium enterprise. -- (1) Any person who intends to establish a micro, small or medium enterprise may file Udyam Registration online in the Udyam Registration portal, based on self-declaration with no requirement to upload documents, papers, certificates or proof. (2) On registration, an enterprise (referred to as ―Udyam in the Udyam Registration portal) will be assigned a permanent identity number to be known as ―Udyam Registration Number. (3) An e-certificate, namely, ―Udyam Registration Certificate shall be i....
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.... application of 'Resolution Applicant' etc. are not followed. If the Promoter satisfy all the creditors and is in a position to keep the 'Corporate Debtor' as a going 10 Company Appeal (AT) (Insol.) No. 203 of 2019 concern, it is always open to 'Committee of Creditors' to accept the terms of settlement and approve it by 90% of the voting shares. The same principle can be followed in the case of MSME. 21. The Parliament with specific intention amended the provisions of the 'I&B Code' by allowing the Promoters of 'MSME' to file 'Resolution Plan'. The intention of the legislature shows that the Promoters of 'MSME' should be encouraged to pay back the amount with the satisfaction of the 'Committee of Creditors' to regain the control of the 'C....