Marvel Business Pvt. Ltd vs J. R. Organics Ltd
- CitationCompany Appeal (AT) (Insolvency) No. 220 of 2018
Ratio decidendi
The rule this decision rests on
The Tribunal, having recorded that the parties had settled their dispute, held that a settlement agreement which does not violate any provision of law may be given effect by disposing of the appeal on the basis of that agreement, without adjudicating the merits of the appeal. Where a costs order has been imposed by the adjudicating authority and the matter is disposed of on settlement, the Tribunal may vary the quantum of costs in the light of that settlement, without examining the findings on which the costs were imposed.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
Marvel Business Pvt. Ltd. ...Appellant
Vs
J. R. Organics Ltd. ...Respondent
Appellant: Mr.P. Nagesh, Mr. Harshal Kumar, Mr. Shivam Wadhwa, Advocates.
Respondent: Ms. Honey Satpal, Advocate.
ORDER
06.12.2019: Both the parties have filed the joint application under Rule 11 of the NCLT Rules, 2016 for disposal of the appeal in terms of the settlement/agreement. Learned counsel for the parties submits that as per the settlement, the parties have settled their disputes, therefore, the appeal be disposed off in terms of this settlement/agreement dated 20th March, 2019. The agreement dated 20th March, 2019 is annexed with the application as Annexure
1. The application is supported by the affidavit of Rajiv Gupta and Yogender Kumar Jhunjhunwala.
2. We are of the opinion that agreement is valid agreement and it does not violate any provisions of the law.
3. At this juncture learned counsel for appellant submits that NCLT while deciding the appeal imposed the cost of Rs.5 lac on the appellant and directed to deposit in Prime Minister's Relief Fund. Learned counsel for the appellant submits that the appellant has not suppressed any fact or manipulated the documents before the NCLT Mumbai and when the disputes has been settled amicably, therefore, the order of imposing cost by NCLT be set aside.
4. We have considered the submissions. The parties have settled the matter, therefore, without going into the findings of NCLT we reduce the cost fromRs.5 lacs to Rs.3 lacs.
5. We have not decided this appeal on merit. In the light of the settlement the appeal is disposed off.
(Justice Jarat Kumar Jain) Member (Judicial)
(Mr. Balvinder Singh) Member (Technical)
(Dr. Ashok Kumar Mishra) Member (Technical) Bm/nn
This page reproduces a public judgment and a summary of it. It is research material, not legal advice, and it is no substitute for advice from an advocate on your own facts.
Research this judgment with Miss Lucy
Ask what it holds, what has followed it, and what it means for your matter — in plain English, with the citations.
Try Miss Lucy free