2021 (7) TMI 567

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....kruptcy Code with such prayer, to pass an order for the liquidation of the Corporate Debtor Company i.e. Shree Bhawani Paper Mills Ltd. 2. The Adjudicating Authority vide its order dated 13.02.2018 based on a petition filed by the Corporate Debtor under Section 10 of the Code in CP (IB) No. 110/ALD/2017, initiated the CIRP in respect of Corporate Debtor Company and appointed Ms. Anju Agarwal as IRP and subsequently was confirmed as RP in the matter. 3. It is submitted by the counsel for the RP that 693 days have already been passed since initiation of the CIRI' and in the 12th meeting of the CoC convened on 06.12.2018, the Resolution applicants were invited to discuss the revised resolution plan submitted by them and after detail disc....

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....d the Members of CoC that the resolution plan submitted by "Laxmi Float Glass Limited" was not approved by the CoC by the requisite voting share and CoC by 95.29% majority has passed the resolution to liquidate the Corporate Debtor as no resolution plan was received for the Corporate Debtor and the timeline of 693 days including the time of extension and exclusion came to an end on 06.01.2020. Accordingly, as instructed by CoC, the applicants filed the present petition seeking liquidation of the Corporate Debtor under Section 33 of the Code and to appoint the RP as the liquidator in terms of the provisions contained in the Code. 7. The Counsel for the Suspended Management submitted that the afresh EOI was invited, and one Company namely "L....

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....ars that the last valuation of the assets have been carried out and due to adverse market conditions and the lockdown consequent to Covid-19 pandemic and other circumstances, the valuation of the assets has witnessed a significant blow. 9. It is further contended that instead of taking into consideration the aforesaid mentioned facts, the CoC went ahead and rejected the resolution plan and choose to appoint the RP as the liquidator of the company, seeking initiation of liquidation proceedings of the Corporate Debtor. 10. The counsel for the respondent has also filed another application as IA No. 180/2020 with the prayer to appoint a valuation agency and conduct fresh valuation of the assets of the Corporate debtor and to direct the RP and....

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....h the average Liquidation value as a going concern basis of Land and Building, Plant and Machinery and Financial Assets and Security is Rs. 44,99,02,093/- and the liquidation value as on piecemeal basis is Rs. 37,30,89,695/-. 13. Pursuant to which, the Applicant convened another meeting of CoC on 02.03.2021 wherein the Applicant has appraised the Members of CoC about the out-come of fresh valuation of the assets of the Corporate Debtor. After discussions and deliberations, the Members of CoC decided to go ahead with the valuation and directed the Liquidator to file an application before this Adjudicating Authority as a lot of time has already been passed since the initiation of CIRP. 14. Upon hearing the submissions made by the parties an....