Liberty Oil Mills Limited vs Bank Of India
- CitationCompany Appeal (AT) (Insolvency) No. 1524 of 2022
Ratio decidendi
The rule this decision rests on
The Tribunal, sitting in appeal from an order forfeiting the right of a corporate debtor to file a reply, has not stated any principle of law; it disposed of the appeal by granting one final opportunity to file a reply, on the ground that the ends of justice required it, without articulating a rule of general application.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
IN THE MATTER OF: Liberty Oil Mills Ltd. ...Appellant
Versus Bank of India ...Respondent Present: For Appellant: Mr. Jay Zaveri, Mr. Amish Tandon, Mr. Sameer Abhyanwar, Mr. Harsh, Mr. Nish Sangbani, Advocates For Respondent: Advocate Azeem
ORDER
05.01.2023: This Appeal has been filed against the Order dated 29th
November, 2022 passed by the Adjudicating Authority by which right to file Reply
of the Appellant was forfeited and the Adjudicating Authority has fixed 16th
January, 2023 for reporting Settlement/Final Hearing.
2. Learned Counsel for the Appellant submits that the Adjudicating Authority
has passed the Order on 06.09.2022 fixed 29th November, 2022 which Order is
to the following effect:
"1. Mr. Vrushali Sawant, Ld. Counsel for the Financial Creditor. Mr. Raghunath, Ld. Counsel for the Corporate Debtor.
2. Ld. Counsel for the Corporate Debtor submits that the matter is at advance stage for settlement and hence seeks time. Time granted.
2
3. Ld. Counsel for the Corporate Debtor is directed to file reply before the next date of hearing, if settlement fails.
4. List this matter for hearing on 29.11.2022."
3. It is submitted that since the settlement talks were going on and under
the bona fide impression, the Appellant could not file a Reply by the next date.
4. Learned Counsel for the Respondent submits that Appellant having not
filed Reply, the Adjudicating Authority has rightly closed the right to file Reply.
5. We have considered the submissions of Learned Counsel for the parties
and have perused the record.
6. The Adjudicating Authority has now fixed the next date as 16th January,
2023, we are of the view that ends of justice will be served in giving one
opportunity to the Appellant to file a Reply on or before 15th January, 2023 after
serving the same on other side. The petition which is already fixed on 16th
January, 2023 shall be taken by the Adjudicating Authority for passing
appropriate order.
With these observations, Appeal is disposed of.
[Justice Ashok Bhushan] Chairperson
[Mr. Barun Mitra] Member (Technical)
Basant/nn
Company Appeal (AT) Ins. No. 1524 of 2022
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