2021 (5) TMI 711

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....#39;) under Section 60(5) (a) of the Insolvency and Bankruptcy Code, 2016, by inter alia seeking to delete the name of the Respondent No. 2 from the array of parties as the present Petition is not maintainable either in law or in facts of the case qua Respondent No. 2, etc. 2. Briefs facts of the case, as mentioned in Application, which are relevant to the issue in question, are as follows: 1) Initially, the Company Petition bearing C.P.(IB) No. 200/BB/2020 was filed by M/s. Kavya Projects Private Limited ('the Petitioner') under Section 9 of the IBC, 2016 read with Rule 6 of the I&B (Application to Adjudicating Authority) Rules, 2016. It is pertinent to mention that Section 9 clearly provides the grounds on which the Op....

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..... 1 since April, 2020. 5) The Respondent No. 2 has no privity to contract with the Petitioner and with regard to the Business Transfer Agreement ('BTA') entered into between the Petitioner and Respondent No. 1 which forms the subject matter of the present petition. Moreover, the BTA was entered into by the Petitioner and the Respondent No. 1 in 2014 which is much prior to the Respondent No. 1 becoming an affiliate company of the Respondent No. 2 Company. 6) All the rights and the liabilities arising out of the BTA are only within the domain of the Respondent No. 1 and the same cast no shadow upon the functioning or liabilities of the Respondent No. 2. 7) The documents attached with the Petition are related....

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....nsel for the Petitioner submits that he has no objection for removal of the Respondent No. 2 as the Respondent No. 2 is not a Corporate Debtor to the Petitioner. 5. Section 9 states that a petition shall be filed by the operational creditor in the prescribed form and manner. Two Respondents being added to the Petition under Section 9 by the Petitioner is not provided under the said rules. In this regard to the adding more than one Corporate Debtor under Section 9 IBC, 2016, the Hon'ble NCLT Delhi vide its order dated 18.12.2017 in Company Petition No. (IB-466(ND)/2017 in the matter of "Sonitech Travels Co. Vs. Centre for Vocational Training and Entrepreneurship studies and Others" states as follows: "Any application lodged u....