2021 (10) TMI 80

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.... in brief are that the an application for Corporate Insolvency Resolution Process was preferred by Metenere Limited, herein the Operational Creditor in the matter of Novelty Treasure Metal Private Limited, herein the Corporate Debtor, under Section 9 of the IBC on account of default. The Adjudicating Authority vide order dated 20.08.2020 admitted the said application and appointed Mr. Brahm Datt Verma as the Interim Resolution Professional of the Corporate Debtor. Thereafter the Application was filed against the Operational Creditor to initiate CIRP and an order of initiating CIRP was passed by the Adjudicating Authority on 20.08.2020 hence, thereafter the RP of the Operational Creditor was representing the Operational Creditor. 3. That an....

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....scheduled for 18.05.2021 and the notice was issued to the RP of the Operational Creditor Metenere Limited and the ex-directors of the Corporate Debtor vide email on 12.05.2021. The RP of the Operational Creditor vide email dated 18.05.2021 refused to attend the CoC meeting stating: "I am in receipt of your invitation for attending the second meeting of the committee of creditors of Novelty Treasure Metals Private Limited ("Novelty") scheduled on May 18, 2021 at 3.00 pm. At the outset, please note that pursuant to an application filed before the Hon'ble National Company Law Tribunal, Principal Bench, New Delhi ("NCLT") by State Bank of India against Metenere Limited, the NCLT vide its order dated September 25, 2020, which was deliver....

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....ittee of creditors of Novelty, where a creditor is expected to exercise its rights on the basis of its outstanding dues. 5. As a result of the refusal by the RP of the Operational Creditor, the rescheduled 2nd meeting of the CoC could not be held on 18.05.2021. Further in the reply to the email dated 18.05.2021, an email was received on 18.05.2021 from one Mr. Harshit Garg (from the email address of the RP of the Operational Creditor that: "On behalf of the Metenere RP, we would like to record that it has been clarified with your good self over calls/meeting and trail email, that the Assignment Agreement executed by Metenere and Terrence, forbids Metenere to play any role in the ongoing CIRP of Novelty as of today. " 6. The Applicant re....

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....n order to deal with the issue at hand, We would like to refer Section 33(1) of the Code; "33. (1) Where the Adjudicating Authority,- a. before the expiry of the insolvency resolution process period or the maximum period permitted for completion of the corporate insolvency resolution process under section 12 or the fast track corporate insolvency resolution process under section 56, as the case may be, does not receive a resolution plan under sub-section (6) of section 30; or b. rejects the resolution plan under section 31 for the non-compliance of the requirements specified therein, it shall- (i) pass an order requiring the corporate debtor to be liquidated in the manner as laid down in this Chapter; (ii) issue a public announcem....