TaxTMI 
TaxTMI 
2023 (2) TMI 1377
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....itiated vide an admission order dated 10.10.2019 of this Court in C.P.(IB)-500(MB)/2019 under Section 7 of the Insolvency and Bankruptcy Code 2016 filed by UCO Bank (Financial Creditor) and Mr. Ankur Kumar (Reg. No.: IBBI/IPA-002/IP-N00113/2017-18/10283) was appointed as Interim Resolution Professional (IRP) and later on was confirmed as RP by CoC in its meeting held on 07.12.2019. ii. The IRP published a public announcement in newspapers in Form-A on 16.10.2019 inviting claims from the creditors, workers/employees of the Corporate Debtor and from government bodies. IRP constituted the Committee of Creditors (CoC) on 06.11.2019 based on the claims received by him. iii. The Resolution Professional received Resolution Plan(s) from M/s. Six Sigma Investment Funds (SSIF) and M/s. Twentyone Sugars Limited (TSL). It is stated by him that both the Resolution Plan(s) met the requirements of the Code as well as the Insolvency & Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 and are also not in contravention of the provisions of section 29A of the Code. iv. The Applicant states that both the proposed resolution pla....
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....AT the Resolution Professional, in accordance with the process note, may issue the letter of Intent and enter into necessary agreements (as per the drafts approved by CoC) with the successful Resolution Applicant for implementation of Resolution Plan and approach Hon'ble NCLT for necessary direction and approvals". viii. The RP issued Letter of Intent on 02.09.2021 in favour of the successful Resolution Applicant viz. Six Sigma Investment Fund (SSIF), which is accepted by SSIF unconditionally on 06.09.2021. In the circumstances mentioned hereinabove, the Applicant has filed Application seeking appropriate directions of this Tribunal approving the resolution plan submitted by the Resolution Applicant i.e. SSIF is in accordance with the Section 30(2) and other provisions laid down under the Code. 3. The Resolution Applicant viz. M/s. Six Sigma Investment Funds (SSIF) is a company incorporated in January 2017, under the laws of Cayman under registration number CR-319163. It has presence in various countries. It is stated that "The fund has got special interest in distillery, ethanol in view of blend ability of ethanol with Petrol and diesel. Sustainable energy is a busi....
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....ovides for detailed distribution 3 Operational Creditors Workmen and Employees 2,07,58,457 1,63,89,953 78.96% Operational Creditors 79,02,80,497 2,50,00,000 3.16% including Statutory Authorities Total 304,00,00,000 4.1.1 The dissenting Financial Creditors (i.e. those Financial Creditors who voted against or abstained from voting for the Resolution Plan approved by the CoC), as per section 30(2) of the Code, are being paid an amount not less than an amount to be paid to them in accordance with Sec 53(1) in the event of Liquidation of the Corporate Debtor. 4.1.2 Payments to the Operational Creditors (Including Statutory Dues) and to Workmen and Employees have been given in priority of payment over financial creditors in terms of Regulation 38(1) of the CIRP Regulations. 4.1.3 The Operational Creditors have been paid an amount which is not less than the amount to be paid to such creditors in the event of liquidation of the corporate debtor under section 53 or the amount payable to such creditors, if the amount....
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....the payments are made to all the stakeholders as per the terms and conditions of the Resolution Plan. The obligations of the Resolution Applicant to implement the Resolution Plan shall become effective only from the Effective Date. The Resolution Plan shall become binding on the Corporate Debtor and its employees, members, creditors, guarantors, Central Government, any State Government(s), any local authority and other stakeholders involved in the Resolution Plan on the Effective Date. 4.4 The Resolution Applicant has sought various reliefs and concessions as set out in the Resolution Plan. 4.5 The Applicant has submitted that the Resolution Plan, submitted by Six Sigma Investment Funds, approved with 81.74% voting of the members of the Committee of Creditors, has been examined and the Resolution Plan: a. provides for payment of Insolvency Resolution Process Costs in a manner specified by the board in priority to the payment of other debts of Corporate Debtor; b. provides for payment of the debts of the Operational Creditors in such manner as specified by Regulation 38(1) of the IBBI (Insolvency Resolution Process for Corporate Persons Regulations) ....
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.... (a) Insolvency resolution process costs? (b) Liquidation value due to operational creditors? (c) Liquidation value due to dissenting financial creditors? Clause 8.23 Page 66 Yes Regulation 38(1A) Whether the resolution plan includes a statement as to how it has dealt with the interests of all stakeholders? Clause 8, 10 Page 56-57 Yes Regulation 38(2) Whether the Resolution Plan provides: (a) the term of the plan and its implementation schedule? (b) for the management and control of the business of the corporate debtor during its term? (c) adequate means for supervising its implementation? Clause 4 Page No. 49-51 Clause 6 & 7 Page No. 52-54 Clause 4.2 Page No.50 Clause 7.1 Page No. 53 Yes Yes Yes 38(3) Whether the resolution plan demonstrates that - (a) it addresses the cause of default? (b) It is Feasible and Viable? c) it has provisions for its effective implementation? (d) it has provisions for approvals required and the timeline for the same? Clause 8.22 Page No. 65-66 Clause 4.5 Page No. 51 Clause 4 Pa....
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....ies to any agreement shall have no right to suspend the agreements with the Corporate Debtor and shall not terminate these agreements. It is clarified that these agreement(s) shall be subject to mutual consent of both the parties for its future application. 6.8 The approval of the Resolution Plan shall not be construed as waiver of any statutory obligations of the Corporate Debtor and shall be dealt by the appropriate Authorities in accordance with law. Any waiver sought in the Resolution Plan, shall be subject to approval by the Authorities concerned. Further, any application for renewal or extension or restoration of any license or approval or connection from any authority shall be subject to payment of prescribed fee and/or deposit(s) and adherence to the procedure stipulated by such authority, however such authority shall not refuse/deny approval/extension/restoration merely on ground of previous defaults/noncompliance of the Corporate Debtor. 6.9 In terms of the judgement of Hon'ble Supreme Court in the matter of Ghanshyam Mishra and Sons Private Limited v. Edelweiss Asset Reconstruction Company Limited, "on the date of approval of the Resolution Plan by the Adjudicating....
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.... it has filed claim in Form-C prescribed under some other Regulations. The claim was filed vide letter dated 13.10.2021 while the last date for submission of the claim was 26.10.2019. Also, the CoC approved the Plan on 09.09.2021 and the approved Plan was before consideration of the Adjudicating Authority. The Applicant has submitted that he has sent a letter dated 23.10.2020 to the RP vide registered A.D. and has placed on record the copy of acknowledgement issued by the Post Office in this relation. After considering the facts of the case, we direct the RP to consider the claim of the Applicant under appropriate class and include him as one of the claimants under the class after verification of the amounts claimed to be due. RP shall distribute the amounts allocated to that class accordingly. With there directions, IA-886/2022 is allowed. 8. IA-2438/2021: This Application has been filed by Twentyone Sugars Limited, one of the shortlisted prospective Resolution Applicants seeking supply of evaluation matrix, minutes of the meetings of CoC, voting results, copy of Resolution Plan submitted by the successful Resolution Applicant. It is noticed from the Application filed for appro....