Avtar Singh Rahi vs Nawal Kishore Prasad & Anr

Avtar Singh Rahi ...Appellant

Versus

Hospitech Management Consultants Pvt. Ltd. (Through 'Interim Resolution Professional') & Anr. ...Respondents

Present: For Appellant : Mr. Pawanjit Singh Bindra, Advocate

For Respondents: Mr. Ritu Raj Biswas, Advocate for R-2 Mr. Mani Bhushan Sinha, Advocate Mr. Kumudshekhar, IRP

ORDER

(Through Virtual Mode)

10.06.2020 Learned counsel for the Appellant submits that Respondent

No. 2 - Mr. Nawal Kishore Prasad (Operational Creditor) is the sole creditor and

'Committee of Creditors' comprises of him only. Since the 'Committee of

Creditors' has already been constituted and we are told by learned counsel for

the 'Interim Resolution Professional' that there is no other claimant, the only

legally permissible exit route for the 'Corporate Debtor' to come out from the

rigour of 'corporate insolvency resolution process' is by way of taking recourse

to mechanism under Section 12A of the 'Insolvency and Bankruptcy Code, 2016'

('I&B Code', for short).

We accordingly dispose of this appeal giving liberty to the 'Corporate

Debtor' to approach the 'Committee of Creditors' through 'Interim Resolution -2-

Professional' for permitting the 'Operational Creditor' to withdraw the

application in view of settlement stated to have been arrived at, inter-se, the

'Operational Creditor' and the 'Corporate Debtor'. The appeal is accordingly

disposed off. The interim directions shall stand vacated.

A copy of this order be sent to the Adjudicating Authority (National

Company Law Tribunal), New Delhi Bench for information.

[ Justice Bansi Lal Bhat ] Acting Chairperson

[Justice Jarat Kumar Jain] Member (Judicial)

[ Shreesha Merla ] Member (Technical)

/ns/rr/

Company Appeal (AT) (Insolvency) No. 219 of 2020