Employees Provident Fund Organization vs Pradeep Kumar Kabra Liquidator Of M/S. ...

Employees Provident Fund Organization ...Appellant(s)

Versus

Pradeep Kumar Kabra Liquidator of Pacific Pipe Systems Pvt. Ltd. ...Respondent(s)

Present:

For Appellant(s) : Mr. Gaurav Verma, Advocate for Appellant.

For Respondent(s) : Mr. Karan Valecha, Advocate for Respondent.

ORDER

(HYBRID MODE)

28.07.2025: Heard counsel for the Appellant as well as counsel for the Respondent. This appeal has been filed against the order dated 03.05.2023 passed by National Company Law Tribunal, Ahmedabad Bench. The Adjudicating Authority by the impugned order has taken the view that claim submitted by Appellant EPFO is based on order passed on 08.04.2021 which cannot be admitted. It has been held by the Adjudicating Authority that determination under Section 7A was on 05.02.2021 that is post liquidation commencement date. In the present case liquidation against the CD commenced on 04.11.2020. Any claim which arose on basis of an order passed under Section 7A dated 05.02.2021 could not obviously be entertained in the liquidation proceeding which liquidation proceeding had commenced 04.11.2020. The Appellant aggrieved by the order has come up in this appeal. We have heard the counsel of parties and perused the record. In paragraph 6 & 7 of the impugned order following has been observed:

"6) As Determination under 7A of the EPF Act was done on

05.02.2021 (Annexure-A) is post the liquidation commencement date which is against the provision of IB Code, more partidcularily Section 14(1)(a) and 33(5) of IB Code, 2016.

7). Hence, we are of the view that claim of Rs. 2,89,75,370/- submitted in Form-F on 08.04.2021 by the Respondent cannot be admitted under the Liqudiation Process Regulations and in our view the Respondnet has right to claim/recover only Rs. 5,19,411/- as admitted by the Applicant in accordance with the provisions of IB Code."

Ld. Counsel for the Respondent submitted that from the facts which are undisputed that order under 7A was passed after liquidation commencement date, all claims have to be filed as on liquidation commencement date as per IBBI (Liquidation Process) Regulations 2016. We thus, do not find an error in the order of the Adjudicating Authority not admitting the claim of the Appellant which arose after the liquidation commencement date and filed much after the time for claim filing has come to end we do no find an error in the impugned order. The appeal is dismissed.

[Justice Ashok Bhushan] Chairperson

[Barun Mitra] Member (Technical)

shweta/nn