TaxTMI 
TaxTMI 
2024 (6) TMI 1493
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....ul Resolution Applicant ("SRA") namely M/s. Miker Financial Consultants Private Limited. 1.2. Brief Background of the Case: i. An application under Section 7 of the Insolvency and Bankruptcy Code, 2016 ("IBC") was filed by Financial Creditor i.e., M/s. Saivi Finance Private Limited against the Corporate Debtor i.e., M/s. Fusion Conbuild Private Limited and the said application was admitted by this Adjudicating Authority vide order dated 16.05.2023 and a moratorium was declared and Mr. Devendra Umrao was appointed as an Interim Resolution Professional. ii. The Resolution Plan was submitted by the Successful Resolution Applicant namely M/s. Miker Financial Consultants Private Limited which was approved by the CoC in its 7th meeting dated 12.02.2024 by 100% voting share in respect of the CIRP of the Corporate Debtor after considering its feasibility and viability. 1.3. Background of the Corporate Debtor: The Corporate Debtor was incorporated on 10.08.2010, as a Company Limited by Shares (Non-govt. Company) having CIN: U65100DL2010PTC206914, under the Companies Act, 1956 with the Registrar of Companies, NCT of Delhi and Haryana. The Authorised Share Capital o....
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....-G dated 22.08.2023 in two newspapers namely Financial Express and Jansatta inviting EOI where the last date to submit EOI was 06.09.2023 and accordingly received 3 EOIs till the last date of submission of EOI. Thereafter, the Applicant in terms of Regulation 36(A)(10) of the CIRP Regulations issued a Provisional List of eligible PRAs as on 16.09.2023. 3.5. The 4th CoC Meeting was convened on 20.10.2023 wherein the RP proposed for extension of CIRP by 90 days, as the last date of CIRP of the Corporate Debtor was to expire on 11.11.2023. Further, in the said meeting resolution was put for seeking an extension in timelines for submission of Resolution Plans by the PRAs due to lack of complete information related to the Corporate Debtor. 3.6. Thereafter, the Applicant filed an application bearing IA-6142 of 2023 under Section 12 of the Code, 2016 to seek an extension of 90 days beyond the permissible 180 days in the CIRP of Corporate Debtor. This Adjudicating Authority vide order dated 22.11.2023 allowed an extension of 90 days from 11.11.2023 which was subsequently going to expire on 09.02.2024. 3.7. The 5th CoC Meeting was convened on 24.11.2023 wherein the RP informed the ....
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.... members of the CoC and distribution of voting share is as under: S. No. Name of Creditor Voting Share (%) Voted For/ Abstained/ Dissented 1. M/s. Saivi Finance Private Limited 100 Voted for 5. Valuation of the Corporate Debtor In terms of Regulation 27 of CIRP Regulations, the Applicant appointed registered valuers who were entitled to determine the fair and liquidation value of the Corporate Debtor. As per the Form-H, the fair value and liquidation value of the assets of the Corporate Debtor are as follows: The Fair Value of the Corporate Debtor is Rs. 22,60,638.77/- and the Liquidation Value of the Corporate Debtor is Rs. 21,08,834.77/-. 6. Details of Resolution Plan/Payment Schedule The Resolution Applicant has to the extent possible, taken into account the interests of all stakeholders of the Corporate Debtor in the following manner: 6.1 Sources of Funds The RA has its own capabilities to meet its commitment under the resolution plan. No third-party funding is envisaged for the implementation of the Resolution Plan. The RA has enclosed three years' financial statements to demonstrate its financial capability to the CoC. The R....
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....e approval date. 6.6 Workmen and Employees As per the Information Memorandum, it appears that there are no dues towards Workmen and Employees and as such no provisions have been made for them in the Resolution Plan. 6.7 Secured and Unsecured Financial Creditors (Related to the Corporate Debtor) As per the Information Memorandum, it appears that there are no Secured and Unsecured Financial Creditors and as such no provisions have been made for them in the Resolution Plan. 6.8 Term of the Resolution Plan The Resolution Plan envisages a duration of 90 days for the payment to all the creditors of the Corporate Debtor as proposed in this Resolution Plan. The above-mentioned period will start from the effective date after the approval of the Resolution Plan by the Adjudicating Authority. S. No. Particular of Claim Sub- category of the Claims Amount of Claim admitted (Rounded of in Rs.) Amount Proposed (In Rs.) Timeline for Payment 1. CIRP Cost The Resolution Applicant proposes that CIRP Costs be paid at actual in full and in priority to any Claim/Creditor as mentioned in the Proposal. 10,00,000 (Proposes towards the Unpaid CIRP co....
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....tive authorities/ courts/tribunals for renewal of licences/withdrawal/dismissal or abatement of the proceeding as the case may be. The Resolution Plan also provides details of Reliefs and Concessions as already set out in Chapter 10 (Page No. 62-71 of the Resolution Plan). 8 Details on Management and Implementation as per the Resolution Plan The Resolution Plan also provides details of the Implementation Schedule under Regulation 38(2)(a) of CIRP Regulations, management and control under Regulation 38(2)(b) of CIRP Regulations and under Section 30(2)(c) of IBC, and supervision under Regulation 38(2)(c) of CIRP Regulations and under Section 30(2)(d) of IBC under the Resolution Plan. The same has already been set out in Chapter 9 (Mandatory Contents of the Resolution Plan) on Page No. 54-61 of the Resolution Plan. 9 Details on ongoing litigation and new litigation of the Corporate Debtor 9.1 The Resolution Applicant, without prejudice to its interest, has requested the right to pursue/continue any of the matter/case/litigation, in the interest of the Corporate Debtor. The Resolution Applicant has proposed that any litigation which may start and pertains to the period p....
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....ied upon the following paragraphs: "21. This Court has consistently held that the commercial wisdom of the CoC has been given paramount status without any judicial intervention for ensuring the completion of the stated processes within the timelines prescribed by the IBC. It has been held that there is an intrinsic assumption that Financial Creditors are fully informed about the viability of the Corporate Debtor and the feasibility of the proposed resolution plan. They act on the basis of thorough examination of the proposed Resolution Plan and assessment made by their team of experts." A reference in this respect could be made to the judgments of this Court in the cases of "K. Sashidhar v. Indian Overseas Bank and Others, Committee of Creditors of Essar Steel India Limited through Authorised Signatory v. Satish Kumar Gupta and Others, Maharashtra Seamless Limited v. Padmanabhan Venkatesh and Others, Kalpraj Dharamshi and Another v. Kotak Investment Advisors Limited and Another and Jaypee Kensington Boulevard Apartments Welfare Association and Others v. NBCC (India) Limited and Others. 27. This Court has, time and again, emphasized the need or minimal jud....
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....the Resolution Plan, as required by Regulation 39(1)(a) of the CIRP Regulations. A separate undertaking has also been submitted along with the EoI by the Successful Resolution Applicant, as mandated in terms of Regulation 39(1)(c) of the CIRP Regulations. 10.6 The reliefs, concessions and waivers sought by the Successful Resolution Applicant will be dealt with strictly as per law. 10.7 As far as the question of granting time to comply with the statutory obligations/seeking sanctions from governmental authorities is concerned, the Resolution Applicant is directed to do the same within one year as prescribed under section 31(4) of the Code. 10.8 In case of non-compliance of this order or withdrawal of the Resolution Plan within the stipulated time, in addition to other consequences which follow under law, the CoC shall forfeit the EMD already paid by the SRA as well as the PBG. 10.9 The present application has been filed with bonafide means, in the interest of justice and to advance the objectives of the Code. 11 Orders 11.1 The Resolution Plan IA-14/2024 which is for approval of the Resolution Plan is allowed and the Resolution Plan of Rs. 18,00,000/- (Rupees Eight....