2026 (2) TMI 739

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e Corporate Debtor, namely, Arjun Mall Retail Holdings Pvt. Ltd., being aggrieved against the order dated 14.05.2024 passed by the NCLT, Chandigarh (in short 'the Tribunal') by which an application filed under Section 7 of the Insolvency and Bankruptcy Code, 2016 (in short 'Code') by the Financial Creditor, namely, M/s Gunocean Inc. bearing CP (IB) No. 174/Chd/Pb/2022 for the resolution of its debt of Rs. 2,44,96,537.99, has been admitted and Hans Raj Bhogra was appointed as the Interim Resolution Professional (IRP). 2. In brief, the CD started construction of a hotel, namely, Hotel Clarks Inn Arjun (in short 'Hotel'). The CD availed loan facility from the Banks but it was declared as wilful defaulter for the violation of terms and condi....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... FAO (Comm) 31/2021 in which Interim order was passed to the effect that "the Appellants are directed to deposit with the Registrar General of this Court, 50 percent of the principle awarded amount i.e. Rs. 75 lakhs within a period of four weeks from today. The balance 50 percent be deposited within a period of four weeks thereafter. For the remaining amounts due under the award, inclusive of costs and interest, the Appellant No.2 i.e. Mr. Rakesh Kumar Bhanot shall furnish an unconditional undertaking for self and on behalf of Appellant No. 1, to the effect that subject to the outcome of the appeal, he shall be personally liable to pay the balance awarded amount alongwith with costs and interest accrued thereon and shall further forthwith c....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....unt became payable. Notice in the application filed under Section 7 of the Code was issued. Reply was filed by the Respondent (CD) on 25.01.2024. It was alleged that the award is dated 20.02.2019 and the petition is filed on 30.05.2022, therefore, it is barred by limitation. It was also alleged that the award dated 20.02.2019 has not attained finality because the appeal under Section 37 of the Arbitration and Conciliation Act, 1996 is pending before the Delhi High Court. 9. The Tribunal has found that there was no representation on behalf of the CD despite repeated calls, therefore, the CD was proceeded against ex- parte vide order dated 09.04.2024. 10. The Tribunal also found that the amount in question falls within the definition of....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....otu Writ Petition No. 3 of 2020 has wrongly been applied. It is further submitted that the default means non- payment of debt when whole or any part has become due and payable and as per the allegations of the FC, the default had occurred on 10.03.2015, therefore, the period of limitation of three years is to be counted from 10.03.2015 which had expired on 09.03.2018. 14. We have heard Counsel for the appellant and perused the record. 15. There is no dispute that MOU was executed between the parties on 24.01.2015 and the CD has acknowledged the entire receipt of amount of 75 lakhs. There is also no dispute that the CD continuously failed to honour the terms and conditions from the very beginning i.e from 10.02.2015 till the matter was....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....aforesaid facts, the non-appearance of the CD in the Tribunal in which it was proceeded against ex-parte would also indicate that the CD had scant respect for the judicial process because it was ex-parte before the Arbitrator as well. 18. Besides these facts, it is also pertinent to mention that the amount of Rs. 2,44,96,537.99/- has been claimed on the basis of the award. The operative part of the said award is reproduced as under:- "I, therefore, pass an award in favour of the claimant and against the Respondents and direct them to pay to the claimant a sum of Rs. 75,00,000/- along with interest @, 24% per annum from the date of cancellation of the MOU i.e. 16.07.2018 till the filing of the statement of claim i.e. 20.12.2018. ....