TaxTMI 
TaxTMI 
2022 (8) TMI 1156
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....2016 ('Code'/TBC') for passing an order of Liquidation against M/s. Khator Fibre and Fabrics Limited ('Corporate Debtor'). 2. The Adjudicating Authority vide order dated 23.03.2021 had admitted the Application filed by Leomine Organics Private Limited ('Operational Creditor') under Section 9 of the Code for initiation of Corporate Insolvency Resolution Process ('CIRP') of Corporate Debtor and as a consequence thereof appointed Ms. Garima Diggiwal as Interim Resolution Professional (TRP'). 3. The appointment of the applicant as RP was approved by the Committee of Creditors ('CoC') meeting held on 19.04.2021 and resolution voted upon on 30.04.2021. In the 4th CoC meeting held on 11.06.2021, th....
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....d in due course. Hence, the Applicant preferred a Supplementary Affidavit vide Diary No. 1972/2021 dated 28.09.2021 whereby Ms. Megha Agrawal, holding Registration No. IBBI/IPA-001/IP/01456/2018-2019/12272 was recommended to be appointed as the Liquidator of the Corporate Debtor. 7. Further, the Applicant vide Diary No. 2665/2021 dated 10.12.2021 filed additional documents in compliance of Order dated 16.11.2021. The additional documents include the minutes of the 7th CoC meeting dated 30.11.2021 and Fresh Form-2 of Ms. Megha Agarwal, Proposed Liquidator. 8. We have carefully heard and considered the arguments of the learned counsel for the RP and perused the records. Taking into consideration the above facts concerning the affairs of the....
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....Nanda Kumar Vs. VSL Securities Pvt. Ltd., Company Appeal (AT) (Insolvency) No. 308 of 2020 observed as under: "Likewise, the decision of the COC recommending liquidation of the corporate debtor after proper evaluation of the assets and liabilities of the corporate debtor with no Resolution Plan forthcoming would be a business decision falling within the domain of commercial wisdom of the COC which is not amenable to judicial review". However, whether the relevant Application is filed within stipulated timelines as per the applicable procedure is to be seen. 10. The prescribed period for filing Application - In the present case, the Application under Section 9 of the Code was admitted on 23.03.2021, and the RP filed the present Applicati....
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....at Regulation 39B, 39C and 39D in the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 ('CIRP Regulations') have been inserted by notification No. IBBI/2019-20/GN/REG/048 dated 25.07.2019. Relevant aspects in this respect are examined hereunder. 14. Liquidation Cost (Regulation 39B of CIRP Regulations, 2016) - The Liquidator vide Dairy No. 2665/2021 dated 10.12.2021 has submitted additional documents whereby the CoC in its 7th meeting held on 30.11.2021 has decided the estimated liquidation cost to be Rs. 10,00,000/-. The necessary action following IBBI (Liquidation Process) Regulations, 2016 regarding contributions to liquidation costs have been followed. 15. Assessm....
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....uidation Regulations, 2016. 16. The fee of the Liquidator (Regulation 39D of CIRP Regulations, 2016)-It is seen that the CoC, in consultation with the resolution professional, has failed to fix the fee payable to the liquidator. Thus, the Liquidator shall be entitled to a fee in such manner as prescribed under Regulation 4 of the IBBI (Liquidation Process) Regulations, 2016. 17. In view of the satisfaction of the conditions provided under Section 33 of the Code, the Corporate Debtor, M/s. Khator Fibre and Fabrics Limited is directed to be liquidated in the manner as laid down in Chapter III of the Code. The contextual directions inter alia include:- (i) As per Section 33(5) of the Code and subject to Section 52 of the Code, no suit or o....