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Naskar’S Delco Mechanical ... vs Electrosteel Steels Ltd. And Ors

National Company Law Appellate Tribunal24 August 2018

Ratio decidendi

The rule this decision rests on

The appeal cannot be entertained under sub-section (2) of Section 61 of the Insolvency and Bankruptcy Code, 2016 where the delay is unexplained: a vague assertion of late knowledge, unsupported by any evidence and lacking a specific date, does not constitute sufficient cause for condoning delay beyond the prescribed period. Where a resolution plan has already been approved by the Committee of Creditors and the Adjudicating Authority, and that approval has been affirmed by the Appellate Tribunal, and the Corporate Debtor has been taken over by the successful resolution applicant, the Appellate Tribunal will not deliberate on an appeal raised after long delay challenging the order concerned.

Written by Miss Lucy from the judgment below, not taken from a headnote.

Judgment

As delivered

NATIONAL COMPANY LAW APPELLATE TRIBUNAL, NEW DELHICompany Appeal (AT) (Insolvency) No. 478 of 2018IN THE MATTER OF:

Naskar's Delco Mechanical Engineering Pvt. Ltd. ...Appellant

Vs

Electrosteel Steels Ltd. and Ors. ....Respondents

Present: For Appellant: Mr. Kapil Gupta, Ms. Rashmi Solanki and Mr. Ritoban Sarkar, Advocates. For Respondents: Ms. Misha and Mr. Siddhant Kant, Advocates for Resolution Professional.

ORDER

24.08.2018: This appeal has been preferred by M/s Naskar's Delco Mechanical Engineering Pvt. Ltd. against order dated 17th April, 2018 passed by the Adjudicating Authority (National Company Law Tribunal), Kolkata Bench alongwith petition for condonation of delay. From the date of the order, there is a 91 days delay and from the date of knowledge i.e. 1st July, 2018, as informed by the learned counsel for the Appellant, there is delay of more than 50 days in preferring the appeal. In the appeal a vague statement has been made that he came to know about the order from some other Operational Creditor in the second week of the July, 2018 but such statement is not based on any evidence and is also vague in absence of a specific date. Therefore, the appeal cannot be entertained in terms of sub-section (2) of Section 61 of Insolvency and Bankruptcy Code, 2016.

2. Apart from the aforesaid fact we have noticed that the resolution plan submitted by M/s. Vedanta Ltd. has already been approved by the Committee of Creditors, Adjudicating Authority and this Appellate Tribunal by its judgment dated 10th August, 2018 in "Renaissance Steel India Pvt. Ltd. Vs. Electrosteels Steel India Ltd." in Company Appeal (AT) (Insolvency) No. 175, 223, 221, 233, -2-

267 & 357 of 2018, has also affirmed the approval of the resolution plan. In that view of the matter, after approval of the resolution plan and takeover of the Corporate Debtor by Vedanta and after long delay, we are not inclined to deliberate on the issue raised in this appeal. It is accordingly dismissed. No cost.

[Justice S. J. Mukhopadhaya] Chairperson

[Justice Bansi Lal Bhat] Member (Judicial)

am/uk

Company Appeal (AT) (Insolvency) No. 478 of 2018

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