TaxTMI 
TaxTMI 
2024 (11) TMI 671
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....lan. 3. The impugned order came to dismiss the application of the SRA relying upon judgement of Ghanashyam Mishra Vs Edelweiss Reconstruction Co Ltd which squarely applies in favour of the Appellant. 4. Before coming to the reasoning given in the impugned order let us state in brief the facts of the case:- a) M/s Maharashtra Shetkari Sugar Ltd, Corporate Debtor, was admitted to CIRP on 30.08.2018. A moratorium was imposed. The Corporate Debtor used to run a sugar crushing unit on which a large number of employees and farmers were dependent; b) Between 19th August, 2019 and 31st August, 2019 the COC approved the resolution plan filed by the Appellant with majority of 95.73% of the votes; c) on 07.11.2019 the Ld. NCLT approved the Resolution Plan filed by the Appellant in MA No.3199/2019. The liquidation value was fixed at Rs.68 Crores though the admitted claims were of Rs.491 crores; d) admittedly Respondent failed to file any claim. The appellant in terms of the Resolution Plan agreed to settle the disclosed claims at Rs.109.4 crores and also agreed to pay Rs. 2 crores towards the debt of the farmers; e) 65% of the settlement amoun....
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....ate Government or any local authority, guarantors and other stakeholders. On the date of approval of resolution plan by the Adjudicating Authority, all such claims, which are not a part of resolution plan, shall stand extinguished and no person will be entitled to initiate or continue any proceedings in respect to a claim, which is not part of the resolution plan; (ii) 2019 amendment to Section 31 of the I&B Code is clarificatory and declaratory in nature and therefore will be effective from the date on which I&B Code has come into effect; (iii) Consequently, all the dues including the statutory dues owed to the Central Government, any State Government or any local authority, if not part of the resolution plan, shall stand extinguished and no proceedings in respect of such dues for the period prior to the date on which the Adjudicating Authority grants its approval under Section 31 could be continued.' In that view of the matter, we thus find no merits in the prayer of the present Application and is of the considered view that the prayer sought in this Application sans merit. Accordingly, the Interlocutory Application bearing No. 32/2021 is disposed o....
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.... In other words reliefs/exemptions from only existing liabilities which are specifically identified can be sought and allowed in the Resolution Plan. 7. It was thus argued by the learned counsel for the Respondent that anything not specifically asked was all rejected and that the appellant very well knew the premises had no electricity as the appellant had inspected it prior to its purchase and despite that failed to make any provision for arrears of electricity dues and further the appellant itself agreed for one of the two options to make the payment vide its letter dated 07.01.2020. It was argued the appellant had cleared the payment due without any protest and rather gave an undertaking not to raise any dispute later and the contractual obligations between the parties thus came to an end much prior to the initiation of the CIRP and thus this dispute would not be covered under Section 60(5)(c) of the IBC. 8. Heard. 9. Section 60(5)(c) of the IBC read as under:- "60(5)(c ): any question of priorities or any question of law or facts, arising out of or in relation to the insolvency resolution or liquidation proceedings of the corporate debtor or corporate person u....
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....ectricity consumer under Parbhani Circle Office, their electric supply has been disconnected permanently. Vide the application given by you, for the purpose of connection electricity, two options of One Time Settlement or Instalment package are available for the said Factory vide M.S.E.D. Co. Ltd. Circular No. 2. The circular of the same is attached herewith for your information. Accordingly as per the option felt proper by you, your written application will be sent to the Competent Officer Main Office, Mumbai for the purpose of approval. Before sending the Application for approval, it is necessary as per the Rules of the Company first to pay the amount of 2o/o of the total outstanding, i.e. Rs. 3,62,165/- as per rules of the Company." 12. To this on 25.11.2019 appellant wrote a letter as under:- With reference to the above subject, it is hereby requested that, we had filed an application for providing high voltage electric supply at factory of Maharashtra Shetkari Sugar Limited As such in that regard, as per your Letter No.3809 dated 15.11.2019, we have chosen the option of instalment package and 2o/o amount 1.e. Rs.3,62,165/- (Rupees Three lac Sixty Two Thousand One H....
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....art of the resolution plan is extinguished. It has been time and again held by the Hon'ble Supreme Court that SRA cannot be saddled with claim which are not a part of the Resolution Plan and the Corporate Debtor must be permitted to start with a clean slate. 17. In Committee of Creditors for Essar Steel V Satish Kumar Gupta and Ors (2020) 8 SCC 531 the Hon'ble Supreme Court held "A successful resolution applicant cannot suddenly be faced with "undecided" claims after the resolution plan submitted by him has been accepted as this would amount to a hydra head popping up which would throw into uncertainty amounts payable by a prospective resolution applicant who successfully takes over the business of the Corporate Debtor." 18. Thus the Respondent cannot be permitted to benefit from its own failure to file the claim and coercing the appellant to pay pre-CIRP dues for restoring the electricity. Even if the payment was not made by the appellant under protest and so was made only because of compulsion due to the coming season then also the Respondent was barred from seeking arrears of the amount that stood extinguished by operation of law as a precondition for restoring the appella....