2022 (2) TMI 961

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.... (hereinafter referred to as the "Code") for passing an order of liquidation of the Corporate Debtor, M/s. Nizamiya Construction Private Limited. 2. The facts as narrated in the application and explained by the counsel for the applicant RP are summarized hereunder: (i) The Operational Creditor, M/s. Patel Traders (Partnership Firm) had filed an application under Section 9 of the Code for initiation of Corporate Insolvency Resolution Process (hereinafter referred to as the 'CIRP'), against the Corporate Debtor, M/s. Nizamiya Construction Private Limited, which was admitted vide order dated 26.04.2021 and Mr. Keyur J Shah was appointed as Interim Resolution Professional (hereinafter referred to as "IRP"). (ii) The....

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....does not have any assets as on a date, investment of time for invitation for expression of interest [i.e. Form G]shall not be fruitful to any of the parties. The RP had also requested the CoC in the same meeting, for getting the audit of transactions under sections 43, 45, 50, and 66 of the Code, and further requested for a forensic audit of the affairs of the Corporate Debtor. Since there were no realisable assets except a bank balance of Rs. 37,462/-, which was even insufficient to cover up CIRP cost, the CoC had rejected the request of RP. In that 4th CoC meeting, the CoC had passed a resolution and directed the RP to file the necessary application for dissolution of the Corporate Debtor under section 54 read with 60(5)....

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.... voting share] to liquidate the corporate debtor, the Adjudicating Authority shall pass a liquidation order as referred to in sub-clauses (i), (ii) and (Hi) of Clause (b) of sub-Section (1). [Explanation: for the purposes of this sub-section, it is hereby declared that the committee of creditors may take the decision to liquidate the corporate debtor, any time after its constitution under sub-section (1) of Section 21 and before the confirmation of the resolution plan, including at any time before the preparation of the information memorandum]. 4. Considering the documents and submission made, since the CoC in its commercial wisdom has decided to take the Corporate Debtor in liquidation, we are of opinion that the decision of Co....