TaxTMI 
TaxTMI 
2022 (10) TMI 202
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....his M.A has been filed under Section 60 (5) of the Insolvency & Bankruptcy Code, 2016 by some of the Debenture holders of Kerala Housing Finance Limited (KHFL), the Corporate Debtor under CIRP, who are Financial Creditors and members of the Committee of Creditors (COC), against the Resolution Professional (RP) and the Authorised Representative (AR) of the debenture holders of the CD seeking following reliefs: i. Direct the Resolution Professional to identify and determine the Preferential Transactions, Undervalued Transactions, Extortionate Credit Transactions, Fraudulent Transactions and Fraudulent Trading under Section 43 to 50 of the insolvency and Bankruptcy code, 2016 and report it to this Hon'ble Tribunal for necessary orders. ii.....
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....or conducted any meeting of the NCD Holders till date. It is stated that the respondents have taken crucial decisions including the initiation of liquidation of the CD unilaterally without knowledge of the applicants. The applicants further stated that the Information Memorandum (IM) under regulation 36 of IBBI (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 which was prepared by the RP with available details as is duly noted in the 3rd COC meeting minutes held on 4th January 2020 was not intimated to them by the RP or any notices in relation thereto given by the Authorised representative. Further there was preferential, undervalued, fraudulent and extortionate credit transactions in the CD over the years as observed....
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....he amount from the applicants. 4. The RP stated that the out of 9 applicants, 4 had given email ids in their claims received in FORM CA and hence all communications regarding IM and COC meetings were duly given to them. The RP submitted that all meetings of COC was conducted duly serving the Notices and Agenda Notes to members of COC. The RP relied on regulation 16A (6) of the Insolvency Resolution Process for Corporate Persons) Regulations, 2016 to state that the RP provided electronic means for communication between AR and Creditors in class and the AR has voted only based on the prior voting instruction obtained for such meetings. RP stated that the preparation of IM requires various extensive data containing the financials, litigations....
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.... 213 of Companies Act, 2013. 5. The AR stated that 9 COC meetings were conducted since commencement of CIRP. The applicants were granted opportunity to submit claim in FORM CA electronically and the communication regarding all meetings, notice and agenda was circulated duly in those mails provided by applicants. The AR stated that the provisions of IBC, 2016 were strictly being adhered to while conducting and taking prior instructions for voting. Regulation 16A of Insolvency Resolution Process for Corporate Persons) Regulations, 2016 provides for electronic means of communication between AR and the creditors and that for the 6547 NCD holders it is not necessary to conduct physical meeting by the AR for taking voting instructions. The AR ha....
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....t being made aware to them and that meetings of the COC, including notices and communications thereto, were conducted without their participation. This tribunal on perusal of the records and arguments on either side finds no merit in the same as the applicants have duly submitted their claim forms to the RP in time and that they had every opportunity to contact the RP and the AR accordingly. The RP has submitted that there was a dedicated website made to conduct the CIRP proceedings and all information is duly made available in the same. Hence, the contention of the applicants that the notices and communication were not properly served cannot be accepted. Further, we note that the NCD holders forming class of financial creditors are of a hu....