TaxTMI 
TaxTMI 
2022 (3) TMI 57
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....KOB/2021, CP(IBC)/14/ KOB/2021, CP(IBC)/15/KOB/2021, CP(IBC)/16/KOB/2021, CP(IBC)/17/KOB/2021, CP(IBC)/19/KOB/2021 de novo after considering the submissions made by the petitioners in their counter affidavit. 2. The petitioners state that the Corporate Debtor availed certain financial facilities from the Federal Bank Limited. The facilities were secured by the 1st petitioner executing several agreements of guarantee. The agreement of guarantee executed by the 1st petitioner stated that the liability shall not exceed a sum of Rs.18 Crores. The Corporate Debtor failed to service its debts. By a registered assignment agreement, the financial assets of the Corporate Debtor along with all the rights, title, interest and underlying security inte....
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....t. The petitioners submitted before the Tribunal that one of the respondents, Susan Zachariah, passed away even before filing of the applications against the Corporate Debtor. Without considering the submissions made by the petitioners, the NCLT passed Ext.P11 order dated 27.09.2021 and appointed an Insolvency Resolution Professional. 6. The petitioners challenge Ext.P11 order. The petitioners state that the impugned Ext.P11 order demonstrates clear non-application of mind. This is evident from the fact that proceedings were initiated against a dead person. The petitioners further contended that the principles of audi alteram partem were violated by the Tribunal. The petitioners submit that the proceedings against the personal guarantors a....
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.... an appeal to the National Company Law Appellate Tribunal. The petitioners, therefore, have an efficacious alternate remedy. The proceedings under challenge are under the Insolvency and Bankruptcy Code. When the Code itself provides for an appellate remedy, this Court would not be justified in adjudicating on the sustainability of the order passed by the NCLT in writ proceedings. 11. The learned counsel for the petitioners would urge that constitutionality of Sections 95, 97, 99 and 100 of the Insolvency and Bankruptcy Code is under challenge and therefore, this Court would be justified in exercising its jurisdiction under Article 226 of the Constitution of India. The petitioners would contend that Sections 95, 97, 99 and 100 of the Insolv....
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....appropriate recommendations to the Adjudicating Authority. 14. The Resolution Professional is required to give reasons in support of his recommendations. The Adjudicating Authority is the body which takes final decision in the matter. The Adjudicating Authority is not bound by the recommendation made by the Resolution Professional. In fact, a reading of other provisions in the IBC would make it abundantly clear that in the matter of issuing public notices inviting claims from the creditors and approving or rejecting repayment plan as also in passing Discharge Order, it is the Adjudicating Authority, who is the decision making authority, even though the Adjudicating Authority may not be justified in interfering with commercial wisdom of the....