Abhyudaya Co-Operative Bank Ltd vs Rajendra K Bhuta Resolution ...
- CitationCompany Appeal (AT) (Ins.) No. 459 of 2022
Ratio decidendi
The rule this decision rests on
The Resolution Professional is not entitled to any fee for the period after the Supreme Court's interim order of 26 November 2018 staying the insolvency proceedings, the Resolution Professional being entitled to fee only for the period 13 June 2018 to 25 November 2018, as the insolvency proceedings were stayed during the later period and were ultimately set aside. Where the Adjudicating Authority's direction on reimbursement of expenses is not shown to be wrong, it stands affirmed and is to be paid as the Adjudicating Authority directed.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
Company Appeal (AT) (Ins.) No. 459 of 2022 IN THE MATTER OF: Abhyudaya Co-operative Bank Ltd. ....Appellant
Vs.
Rajendra K. Bhuta ....Respondents Resolution Professional of Trust House Commerce Centre Pvt. Ltd. & Ors.
Present: For Appellant: Mr. Rajeev K. Pandey and Mr. Rajeev M. Roy, Advocates For Respondents: Mr. Aman Verma, Advocate for R-2.
ORDER
20.09.2022: This appeal has been filed against the order dated
16.12.2021 passed by the Adjudicating Authority (National Company Law
Tribunal, Mumbai Bench, Court-II) deciding the I.A filed by the Resolution
Professional for reimbursement of expenses against the said order an appeal
was filed by the Financial Creditor/ Respondent No.2 being Company Appeal
(AT) (Ins.) No. 177 of 2022 in IndusInd Bank Ltd. Vs. Mr. Rajendra K. Bhuta,
Resolution Professional.
2. The appeal has already been decided by this Tribunal by its order dated
26.04.2022 in paragraph 7 of the order following has been directed:
"When the Hon'ble Supreme Court by Interim Order dated 26th
November, 2018 has stayed the insolvency proceedings which
proceedings ultimately were set aside by the final Judgment dated
2nd September, 2019, we are of the view that Resolution
Company Appeal (AT) (Ins.) No. 459 of 2022 2
Professional is not entitled for any fee after 26th November, 2018.
The RP is entitled for fee from 13th June, 2018 to 25th November,
2018 hence the Order of the Adjudicating Authority in Paragraph
17 is modified to the above extent that RP fee shall be entitled to fee
from the period 13th June, 2018 to 25th November, 2018. No fee
shall be entitled with effect from 26th November, 2018. The order
passed in paragraph 17 is modified to this extent. In regard to the
Order of expenses as ordered in paragraph 18 of the Impugned
Order, we affirm the Order of the Adjudicating Authority in
paragraph 18 and the same be paid as directed by the
Adjudicating Authority in paragraph 18. The Appeal is partly
allowed to the above extent."
3. This appeal is disposed of in terms of the order passed by this Tribunal
on 26.04.2022.
4. We further direct that the payment by the both Financial Creditor shall
be in accordance with the ratio as mentioned in the paragraph 17 of the
impugned order.
5. The appeal is disposed of accordingly.
[Justice Ashok Bhushan] Chairperson
[Justice M. Satyanarayana Murthy] Member (Judicial)
[Barun Mitra] Member (Technical) sa/nn Company Appeal (AT) (Ins.) No. 459 of 2022
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