Navneet Kumar Jain vs Jv Strips Ltd

Navneet Kumar Jain, ...Appellant

Vs.

JV Strips Ltd. ...Respondents

Present: For Appellant: - Mr. Ashok Kriplani, Mr. Vinod Kumar Chaurasia, PCA and Navneet Kumar Jain, RP

18.07.2018-- Both the appeals have been preferred by Mr. Navneet

Kumar Jain, Interim Resolution Professional/Resolution Professional

against orders dated 22nd May, 2018 and 28th May, 2018 passed by the

Adjudicating Authority (National Company Law Tribunal), New Delhi Bench

in (IB)-452(ND)2017. In the aforesaid orders the Adjudicating Authority

made observations relating to lapses on the part of the appellant -Resolution

Professional, giving rise to these appeals.

2. As the issue does not amount to adversial litigation it is not required

to issue any notice. The Respondent is a Performa respondent, and is

represented through the Resolution Professional.

3. Learned counsel appearing on behalf of the appellant submits that

there were no lapses on the part of the Resolution Professional while he was

functioning as interim resolution professional. In support of such

submission the following facts has been brought to our notice.

4. The corporate insolvency resolution process was initiated on 13th April

2018, order of moratorium was passed and Interim Resolution Professional

was appointed. The intimation of such appointment was received by

appellant on 20th April 2018. The appellant as an interim resolution

professional was supposed to complete the initial work within 30 days, but

having provided less than 30 days' time, the procedure extended little over

20th May 2018.

5. The advertisement calling for application from creditors was issued on

22nd April 2018, allowing two weeks' time to file claim. Thereby time to file

claim was allowed up to 7th May 2018. To collate the claim, the appellant

was required to go through the records of the Corporate Debtor, but the

(Suspended) Board of Directors of the Corporate Debtor refused to cooperate

with the Interim Resolution Professional, and not provided the relevant

documents which was also brought to the notice of the Adjudicating

Authority on 10th May 2018.

6. From the impugned order dated 28th May 2018 it is clear that the

Adjudicating Authority while directed the appearance of the ex-directors in

the court recorded their undertaking to cooperate in every respect with the

Interim Resolution Professional. The aforesaid fact shows that the

Adjudicating Authority had a knowledge that the ex-directors of the

Corporate Debtor were not cooperating with the appellant, which delayed

verification of record after collating the claim. For the said reason, we hold

that there was no laches on the part of the appellant.

7. For the reason aforesaid, while we are not interfering with the

substantive part of the order dated 22nd May 2018, and 28th May 2018

expunge all the remarks made by the Adjudicating Authority against Mr.

Navneet Kumar Jain, Resolution Professional.

8. Both the appeals are allowed with the above observations.

(Justice S.J. Mukhopadhaya) Chairperson

(Justice Bansi Lal Bhat) Member(Judicial) sm/uk