Manish Agarwal vs G.S. Express Pvt. Ltd

06.12.2018 This appeal has been preferred by the appellant against the

order dated 5th September 2018 passed by the Adjudicating Authority (National

Company Law Appellant Tribunal), Allahabad Bench, which reads as follows:

"Sh. Manish Agarwal (IRP) and Ms. Babita Jain (PCS) along

with Anuj Kumar, Advocate for the IRP, is present in the

Court.

Learned counsel for the IRP has filed detail of expenses

and fee in compliance of our direction dated 20 th August,

2018. It appears from the record that total expenses are

Rs. 2,24,112/- whereas, he has received Rs. 3,80,000/-

from the Corporate Debtor company. The details of

expenses have been given by the IRP, but no receipts of

amount are furnished. During the visit at Lucknow, a 2

company secretary Lekhraj Bajaj, who stayed for 4 days

in Lucknow, has charged Rs. 30,000+6300 GST as fees of

Company Secretary.

It is further stated in the application that Chartered

Accountant Mr. Sanjeev Kumar also came and stayed four

days in Lucknow and he charged Rs. 40,000/- including

GST Charges, but receipt has not been filed relating to this.

After the detailed scrutiny of expenses & work done by the

IRP, we allow the total payment of only Rs.2,00,000/-

against the total expenses and fees incurred in the CIRP

and further order to refund the balance amount of

1,80,000/- to corporate debtor Company out of the total

amount of Rs. 3,80,000/- received by him"

The brief facts of the case is that pursuant to 'corporate insolvency

resolution process' against G.S. Express Private Ltd., the appeal was preferred

by the Director before this Appellate Tribunal in 'Company Appeal (AT)

(Insolvency) No. 342 of 2018' . On 10th July 2018, this Appellate Tribunal taking

into consideration the facts that there was a settlement reached between the

parties and there was no default on the part of the 'corporate debtor', set aside

the order of admission and remitted the matter to the Adjudicating Authority to

fix the fee of 'Interim Resolution Professional'. Pursuant to such remand, the

impugned order has been passed by the Adjudicating Authority directing the

'Resolution Professional' to refund of Rs.1,80,000/-, though the Adjudicating

Authority has noticed that the Interim Resolution Professional has incurred

expenses of Rs.2,24,112/- and added the fees including G.S.T amount,

Company Appeal (AT) (Insolvency) No. 658 of 2018 3

It is submitted that the bill of Rs.3,80,000/- was cleared and paid by the

'corporate debtor'. However, after remand of the matter, even the amount which

has been paid by the 'corporate debtor' which they have accepted as payable to

the 'Resolution Professional', is now being directed to be refunded to the tune of

Rs. 1,80,000/-.

The Learned Counsel for the appellant has brought to our notice the

different bills to show that he has incurred expenses, we also find that the

Adjudicating Authority has failed to notice the aforesaid fact. This apart, once it

was agreed by the 'corporate debtor' to pay the amount of Rs. 3,80,000/- being

satisfied and having paid the amount, the Adjudicating Authority was wrong in

passing order to refund the amount of Rs.1,80,000 to 'corporate debtor'.

Learned counsel appearing on behalf of the respondent submitted that

composite invoice of Rs. 6,80,000/- was submitted by the 'Resolution

Professional'. Learned counsel for the 'Resolution Professional' submitted that

the 'Resolution Professional' will not make any further claim beyond

Rs.3,80,000/- already received towards expenses incurred by him and the fees.

In view of the stand taken by the parties and reasons as recorded above,

we set aside the impugned order dated 5th September, 2018 and allow the appeal.

No cost.

[Justice S.J. Mukhopadhaya] Chairperson

[ Justice Bansi Lal Bhat ] Member (Judicial) /ns/uk/

Company Appeal (AT) (Insolvency) No. 658 of 2018