TaxTMI 
TaxTMI 
2021 (1) TMI 1202
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.... Creditor") under Section 7 of the Insolvency and Bankruptcy Code, 2016 (hereinafter referred as "IBC, 2016") r/w Rule 4 of the Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016. The prayers made are to initiate the Corporate Insolvency Resolution Process (hereinafter referred as "CIRP") against the Corporate Debtor viz., CMYK Printech Limited, declare moratorium and appoint Interim Resolution Process (hereinafter referred as "IRP"). 2. It is submitted by the Ld. Counsel for the Applicant/Financial Creditor that applicant is the director in the Corporate Debtor since 2003. The Applicant/Financial Creditor had granted unsecured loan to the tune of approximately Rs. 1.56 Cr (hereinafter referred as "Unsecured Loan....
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....ion 42 (6) of the Companies Act, 2013. The Applicant in Part IV of the application has claimed that as on 17.08.2020 an amount of Rs. 189,17,300/- including interest @12% P.A. is outstanding against the CD. 5. The contention of the Applicant/Financial Creditor is also supported by the report of the Independent Auditor as is recorded under Para 7 & 8 of the Reply filed by the Corporate Debtor i.e., Clause XIV of Annexure-I of the Independent Auditor's Report provides that during the year 2018 the Corporate Debtor has made preferential allotment of 26, 00,566 Shares to its Director, Mr. Amit Goel/Financial Creditor. Further, it is stated that the Corporate Debtor has allotted those shares in lieu of the outstanding loan of Rs. 79.68 lakh....
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....ication Money and in case during time period as prescribed, the allotment is not done, the money has to be returned along with the interest to the Investors. Herein is the Financial Creditor whose money amounting to Rs. 79.68 Lakhs was recognized as a loan described as "prior period expenses". 8. The Ld. Counsel for the Corporate Debtor submits that the allotment of Equity Shares has been made in the name of the Applicant/Financial Creditor and he is a Shareholder. Further, it is submitted that the Petition filed by the Applicant/Financial Creditor under Section 7 of IBC, 2016 is not maintained because he does not come under the category of a Financial Creditor. However, contrary to this, it is recorded in Paras 13, 14 & 15 of the Reply fi....
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....ed within 180 days, reckoning from the day this Order is passed. 11. The moratorium is declared which shall have effect from the date of this Order till the completion of CIRP, for the purposes referred to in Section 14 of the IBC, 2016. It is ordered to prohibit all of the following, namely:- (a) The institution of suits or continuation of pending suits or proceedings against the Corporate Debtor including execution of any judgment, decree or order in any court of law, tribunal, arbitration panel or other authority; (b) Transferring, encumbering, alienating or disposing of by the Corporate Debtor any of its assets or any legal right or beneficial interest therein; (c) Any action to foreclose, recover or enforce any....