Laxmi Kantha Rao Thota vs Iris Electro Optics Pvt. Ltd

IN THE MATTER OF: Laxmi Kantha Rao Thota .....Appellant Vs. IRIS Electro Optics Pvt. Ltd. ......Respondent Present : For Appellant: Mr. Jayant K. Mehta, Mr. T.N.Durga Prasad, Mr. Rohan Narula, Advocates

16.10.2019 - Having heard learned counsel for the Appellant and being

satisfied with the ground, delay of 15 days in filing the appeal is hereby

condoned. I.A. No. 3155 of 2019 stands disposed of.

In the 'Corporate Insolvency Resolution Process' against 'M/s. IRIS Electro

Optics Pvt. Ltd.' ('Corporate Debtor') under Section 21(2), 22(2), 28, 60 (5)(c), 65

of IBC, 2016 was filed by ('Financial Creditor') 'Bank of India'.

In the said application, the voting right of an individual 'Financial Creditor'

'Shri Thota Lakshmi Kantha Rao' (Appellant herein) was questioned.

By impugned order dated 19th August, 2019, the Adjudicating Authority

('National Company Law Tribunal') Hyderabad Bench, Hyderabad directed the

'Resolution Professional' to assign the voting rights to the individual 'Financial

....contd.

2

Creditor' i.e. 'Shri Thota Lakshmi Kantha Rao' (Appellant herein) and calculating

the interest as per bank rate and to re-fix the voting right of both the Appellant

and non-secured 'Financial Creditor'.

Learned counsel for the Appellant submits that as per the agreement of

loan, the Appellant is entitled for compound interest which is the claimed

amount. However, we are not inclined to decide such issue as the 'Resolution

Professional' asked to calculate the same by impugned order. If the Authority is

directed to calculate the interest as per Bank rate, at par, we find no reason to

alter such decision passed by the Adjudicating Authority. The appeal is

accordingly dismissed. No costs.

[Justice S. J. Mukhopadhaya] Chairperson

[Justice A. I. S. Cheema] Member (Judicial)

[Kanthi Narahari] Member (Technical)

ss/sk

Company Appeal (AT) (Insolvency)No.1052 of 2019