In the matter of Fashion Equation Private Limited
- CitationIA (Dis.)/16 (CHE)/2024 in CP/323/CHE/2021
Ratio decidendi
The rule this decision rests on
Where a liquidator applies under Section 54 of the Insolvency and Bankruptcy Code, 2016 for dissolution of a corporate debtor, the Tribunal may order dissolution once it is satisfied from the liquidator's report, synopsis and Form H compliance certificate that the corporate debtor has been completely liquidated, and that the averred compliances under the Code and the IBBI (Liquidation Process) Regulations, 2016 have been met.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
ORDER Present: Shri. Bhagavath Krishnan, Ld. Counsel for the Petitioner. Vide separate order pronounced in the Open Court, petition is allowed. The Company M/s. Fashion Equations Pvt. Ltd. is dissolved. File be consigned to records.
Sd/- Sd/- VENKATARAMAN SUBRAMANIAM SANJIV JAIN MEMBER (TECHNICAL) MEMBER (JUDICIAL) VS
IN THE NATIONAL COMPANY LAW TRIBUNAL, DIVISION BENCH – I, CHENNAI IA (Dis.)/16 (CHE)/2024 in CP/323/CHE/2021 (Filed under Section 54 of the Insolvency and Bankruptcy Code, 2016) In the matter of M/s. Fashion Equation Pvt. Ltd.,
MS. SATYADEVI ALAMURI Liquidator of Fashion Equation Pvt. Ltd., 223, Lake Area, 3rd Cross Street, Nungambakkam, Chennai - 600 034. … Applicant
Order Pronounced on 18th October 2024 CORAM
SANJIV JAIN, MEMBER (JUDICIAL) VENKATARAMAN SUBRAMANIAM, MEMBER (TECHNICAL)
For Applicant: Bhagvath Krishnan, Advocate
ORDER (Heard through –VC-)
This Application has been filed under Section 54 of the Insolvency and Bankruptcy Code, 2016 by the liquidator of the Corporate Debtor herein seeking for an order for Dissolution of the Corporate Debtor viz.,
Fashion Equation Pvt. Ltd.
IA(Dis)/16/CHE/2024 in CP/323/IB/2018. In the matter of Fashion Equation Pvt. Ltd.
2. It is stated that CIRP of the Corporate Debtor was initiated by this Tribunal vide order dated 28.04.2022 and the Applicant herein was appointed as Interim Resolution Professional (IRP) and thereafter as Resolution Professional (RP).
3. It is stated that the Liquidation of the Corporate Debtor was ordered by this Tribunal on 08.02.2019 in IA/1377/2023 in CP/323/IB/2018 and the Applicant herein was appointed as the Liquidator.
4. It is stated that the Applicant constituted the Stakeholders
Consultation Committee on 21.09.2023. The list of stakeholders as averred in the Application is extracted hereunder:-
IA(Dis)/16/CHE/2024 in CP/323/IB/2018. In the matter of Fashion Equation Pvt. Ltd.
5. It is stated that, the Corporate Debtor had no assets and that the Corporate Debtor has not been doing any business since COVID. The Corporate Debtor is not an on-going business entity.
IA(Dis)/16/CHE/2024 in CP/323/IB/2018. In the matter of Fashion Equation Pvt. Ltd.
6. It is stated that, this Tribunal allowed IA No. 1377 of 2023 on 24.07.2023 and ordered liquidation of the Corporate Debtor.
7. It is stated that, in the 3rd SCC Meeting on 14.3.2024, since there were no assets in the Corporate Debtor, the SCC with 76.2% voting, resolved to file the application before this Tribunal to dissolve the CD.
8. The details of the relevant compliances as mandated under
Section 54 of the IBC, 2016 read with the IBBI (Liquidation Process)
Regulations, 2016 are listed hereunder:-
S. COMPLIANCE AVERMENTS PAGE NO. IN THE NO APPLICATION Page 85- Final Report 1 Regulation 12 Public Announcement in Form B Clause 2 Valuers appointed Appointment of Registered Valuers where during CIRP only- 2 Regulation 35(2) no valuation conducted during CIRP Clause 12 of Final Report List of Stakeholders within 45 days of the Page 85 Clause 6 of 3 Regulation 31(2) Liquidation Commencement Date Final Report Constitution of Stakeholders Consultation Page 85- Clause 8 of 4 Regulation 31A Committee (SCC) Final Report Page 85- Clause 6 of 5 Regulation 13 Preliminary Report Final Report. Preparation of Asset Memorandum within Page 85- Clause 8 of 6 Regulation 34 Seventy-Five days from LCD Final Report CIRP ACCOUNT Opening of Bank Account in the name of Opened on 5.9.2022 7 Regulation 41 the company in Liquidation in “Canara changed to Bank” Liquidation account 1.9.2023 Proof of Closure of the above Bank Memo dated 8 Account and other account in the name of 25.09.2024 the Company
IA(Dis)/16/CHE/2024 in CP/323/IB/2018. In the matter of Fashion Equation Pvt. Ltd.
a)1st Qtr filed IA/1959(CHE)/2023 dated 30.10.2023 b)2nd Qtr ended 31.12.2024 taken on record vide IA Quarterly Progress Reports and proof of 9 Regulation 15 No.191(CHE)/2023 dt, filing the same before this Tribunal 29.1.2024. c)3rd Quarter ended 31.3.2024 taken record vide on IA (IBC)/1034(CHE)/2024 dated 2.5.2024 10 Regulation 36 Asset Sale Reports after sale of Reports N/A Proof of Distribution within Ninety days 11 Regulation 42(2) N/A from the receipt of realization Final Report Page 85 - 12 Regulation 45 (3) Final report 86 13 Regulation 5 (1) (e) Compilation of Minutes of SCC Page 77-84 Attached with IA Audited Accounts of receipts and 14 Regulation 15 (IBC)/1034(CHE)/2024 Payments dated 2.5.2024 Completion of Liquidation Process within one year from Liquidation 15 Regulation 37 N/A Commencement Date or extension if any, date of the order & period 16 Form-H –Compliance Certificate Page 87-92
10. We have heard Ld. Counsel for the Applicant and perused the report and synopsis filed by the Liquidator.
11. It is stated in Form H that no applications are pending before this Tribunal in respect of avoidance, Preferential, Undervalued or Fraudulent Transactions.
12. The liquidator has filed the synopsis showing the realization and the distribution which are reproduced as under:
IA(Dis)/16/CHE/2024 in CP/323/IB/2018. In the matter of Fashion Equation Pvt. Ltd.
IA(Dis)/16/CHE/2024 in CP/323/IB/2018. In the matter of Fashion Equation Pvt. Ltd.
13. From the averments made in the Application along with the perusal of the final report and the Compliance Certificate filed in Form-
H by the Applicant, it is seen that the Corporate Debtor has been completely liquidated. In the circumstances as averred and as prayed for by the Applicant, an order for dissolution is required to be passed by this Tribunal under Section 54 of the IBC, 2016. Accordingly, we order for the dissolution of the Corporate Debtor viz.,Fashion Equation Private
Limited. The Liquidator is directed to forward the copy of this Order to IA(Dis)/16/CHE/2024 in CP/323/IB/2018. In the matter of Fashion Equation Pvt. Ltd.
the RoC concerned and also to the IBBI for its records within a period of 7 days from the date of this Order.
14. In terms of the above, this IA (Dis)16/CHE/2024 stands allowed and CP/323/IB/2018 also stands disposed of.
-Sd- -Sd- VENKATARAMAN SUBRAMANIAM SANJIV JAIN MEMBER (TECHNICAL) MEMBER (JUDICIAL)
IA(Dis)/16/CHE/2024 in CP/323/IB/2018. In the matter of Fashion Equation Pvt. Ltd.
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