2019 (8) TMI 1731

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....HEEMA, MEMBER (JUDICIAL) AND KANTHI NARAHARI, MEMBER (TECHNICAL) For the Appellant : Mr. Abhijeet Sinha, Ms. Debamitra Adhikari, Mr. Aditya Shukla, Ms. Upama Bhattacharjee, Advocates, Mr. Aditya Sinha for Intervenor For the Respondent : Mr. Chayan Sarkar, Mr. Konark Bhatnagar, Mr. Rakesh Kumar, Mr. Anupamprakash, Advocates for R-2 Ms. Soumya Roy, Advocate for SBI ORDER Learned Counsel for the ....

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.... refused to invoke the inherent power under Rule 11 of the NCLT Rules, 2016 by impugned order dated 5th July, 2019. 3. The Hon'ble Supreme Court in "Swiss Ribbons Pvt. Ltd. Vs. Union of India" held that the Directors or the shareholders of the 'Corporate Debtor' may settle before the constitution of the 'Committee of Creditors' and it was observed that in such case, it was open to the Adjudicatin....

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....t of the interim resolution professional). We make it clear that at any stage where the committee of creditors is not yet constituted, a party can approach the NCLT directly, which Tribunal may, in exercise of its inherent powers under Rule 11 of the NCLT Rules, 2016, allow or disallow an application for withdrawal or settlement. This will be decided after hearing all the concerned parties and con....

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....s, 2016 otherwise it may result into triggering number of cases. 5. For the reasons aforesaid, we are not inclined to interfere with the impugned order dated 5th July, 2019, however we allow the Appellant or shareholders on behalf of the 'Corporate Debtor' to move an application u/s 12A for settling the claim of all the Creditors particularly the allottees stating how they will take care of the a....