TaxTMI 
TaxTMI 
2023 (5) TMI 664
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.... , Advocates. Ms. Priyanka Vora , Advocate for Intervenor , I.A. No. 1427 of 2023. JUDGMENT ASHOK BHUSHAN , J. This Appeal has been filed by the Promoter of the Corporate Debtor challenging the order dated 10.05.2022 passed by the Adjudicating Authority (National Company Law Tribunal) Mumbai Bench, Court-5 by which order I.A. No. 1217 of 2022 filed by the Resolution Professional seeking liquidation of M/s Virtue Infra and Entertainment private Limited has been allowed and the Adjudicating Authority has directed for liquidation of the Corporate Debtor and also passed consequential orders. 2. The Corporate Insolvency Resolution Process (CIRP) was initiated against the Corporate Debtor on an application filed by Respondent No.2, th....
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....l amount, Appellant submits that he shall also deposit Rs. 1,26,00,000/- with 09% interest up to date. Learned Counsel for the Appellant prays and submits that said amount will be deposited within one hundred days. Time as prayed above is allowed. List this Appeal on 20th March, 2023. Before that date, the entire amount as indicated above shall be deposited by the Bank Draft in the name of 'Pay and Accounts Officer, Ministry of Corporate Affairs'. The aforesaid deposit shall be without any prejudice, rights and contention of both the parties." 4. On 20.03.2023, statement was made by learned counsel for the Appellant that Appellant has made deposit as directed by the Tribunal. 5. In this Appeal Intervention Applications have b....
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....to Respondent No. 2 along with up to date interest has not been deposited by the Appellant. The Committee of Creditors has rightly passed the resolution for liquidation of the Corporate Debtor. There is no error in the order of the Adjudicating Authority directing for liquidation. The Corporate Debtor has only one valuable asset i.e. immoveable property situated at Aurangabad, Maharashtra. The Corporate Debtor is not a going concern, it is not carrying any business, hence, there could not have been any decision except the liquidation of the Corporate Debtor. 8. Learned counsel for the Liquidator submits that claim of the Financial Creditor - Respondent No. 2 and another Financial Creditor has already been admitted and the claim of Operat....
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.... of resolution, appointment of liquidator and the application to NCLT." 12. The Committee of Creditors noted that the Corporate Debtor is not a going concern and no plan having been received resolution was passed to liquidate. The Adjudicating Authority has allowed the application filed by the Resolution Professional for accepting the liquidation resolution. We are of the view that no error can be said to have been committed by the Committee of Creditors in taking decision of liquidation when no resolution plan was received by the Resolution Professional inspite of extending the date. 13. Now we come to the submission of learned counsel for the Appellant regarding the valuation of the Corporate Debtor. It is submitted by learned couns....
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....ed to be sold. - (1) Where the valuation has been conducted under regulation 35 of the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 or regulation 34 of the Insolvency and Bankruptcy Board of India (Fast Track Insolvency Resolution Process for Corporate Persons) Regulations, 2017, as the case may be, the liquidator shall consider the average of the estimates of the values arrived under those provisions for the purposes of valuations under these regulations. (2) 19[In cases not covered under sub-regulation (1) or where the liquidator is of the opinion that fresh valuation is required under the circumstances, he shall within seven days] of the liquidation commencement....
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....of submission that at the instance of Stakeholders' Consultation Committee one valuation was obtained. Liquidator under Sub-regulation (2) of Regulation 35 is empowered to appoint two Registered Valuers when Liquidator is of the opinion that fresh valuation is required. Present is not a case where Liquidator has exercised its jurisdiction under Sub-regulation (2) of Regulation 35. Furthermore, in the present case, two valuation reports are already on the record, as brought on the record by the Appellant, as noted above. When the case is covered by Regulation 35(1), the Liquidator has to take the average of the estimate of the value arrived by the two Valuers. 17. Insofar as submission of learned counsel for the Appellant that Liquidator ....