2022 (4) TMI 431

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....rder of liquidation of the Corporate Debtor. 2. The gist of the Application in brief are:- (1) To put concisely, the Company Petition filed by Shiva Parvati Poultry Feed Private Ltd. u/s. 9 of IBC, 2016 was admitted by the Adjudicating Authority vide Order Dated 17.09.2019 and ordered commencement of initiation of CIRP against it. The Applicant herein was appointed as Interim Resolution Professional (IRP), who continued as Resolution Professional. 3. The CIRP period of 180 days came to an end on 15.03.2020. After granting 90 days extension and exclusion of 54 days covid induced lockdown, the CIRP came to an end on 24.10.2020. 4. Pursuant to publication of notice inviting claims from the creditors of the Corporate Debtor, the IRP after ....

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....C i.e. Union Bank of India dissented to withdraw the CD from CIRP. Consequentially, in the 12th CoC meeting held on 19.10.2020, the CoC decided to proceed with the liquidation and the e-voting ended on 04.11.2020. The CoC with 99.23% voting, resolved to proceed with the liquidation of Corporate Debtor. However, resolutions for appointment of Resolution Professional as Liquidator and contribution of the Liquidator's fee by the Union Bank of India, were not approved. 8. The Resolution Professional is further requesting to condone a delay of 20 days in filing this application on the ground that the Union Bank of India has sought extension of timeline for voting on the resolution for the liquidation of CD. 9. We have heard the Ld. Counsel....

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....ivil Appeal No. 8337-8338 of 2017, wherein it has been held as follows:- "From the viewpoint of creditors, good realization can generally be obtained if the firm is sold as a going concern. Hence, when delays induce liquidation, there is value destruction. Further, even in liquidation, the realization is lower when there are delays. Hence, delays cause value destructions. Thus, achieving a high recovery rate is primarily about identifying and combating the sources of delay " 14. We therefore hope that the Liquidator whom we have appointed would sincerely endeavor to sell the Corporate Debtor as a going concern without delay, however by observing the relevant provisions contained in IBC as well as in IBBI (Liquidation Process) Regulations....