Ntpc Ltd. (Simhadri Project) vs Rajiv Chakraborty

Reportable IN THE SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION

CIVIL APPEAL NO. 2798 OF 2020

NTPC LTD. (SIMHADRI PROJECT) Appellant(s) VERSUS

RAJIV CHAKRABORTY Respondent(s)

O R D E R

We have heard learned counsel for the parties.

The limited issue in this appeal is about the claim

of the appellant not being reflected under the heading

‘Claims of Operational Creditors’ in the Information

Memorandum prepared by the Resolution Professional.

The Adjudicating Authority and the Appellate Tribunal

have taken a view that the appellant’s claim is already

noted in Information Memorandum under the title, ‘List of

Other Creditor Claims (excluding Related Party Claims and

Employees and Workmen Claims) as on 17 th July, 2019’. No

grievance has been made by the appellant that the figure

noted therein is incorrect.

According to the appellant, the claim amount should Signature Not Verified Digitally signed by have DEEPAK SINGH Date: 2020.11.19 15:10:26 IST been reflected under the heading ‘Claims of Reason:

Operational Creditors’. We do not agree with this

submission.

2

It is not in dispute that the claim of the appellant

is still pending adjudication before the Arbitrator and

it has been, therefore, rightly described in the

memorandum as other creditor claims (claims under

adjudication).

The purpose of memorandum is only to provide relevant

information regarding the financial position of the

company in question. It is not about deciding the claim

or disregarding the claim amount, if it exists in law.

The Resolution Professional has no authority/power to

accept or disallow the claims. The appellant’s claim

would not get extinguished unless it is adjudicated upon

by a competent forum or by operation of law.

Suffice it to observe that the claim of the appellant

has been taken note of in the information memorandum and

does not get extinguished as such; but it will be subject

to adjudication by the Arbitrator. Since it is part of

the memorandum, it is obvious that the resolution

applicant would take the same into account while

submitting his proposal, due notice whereof will be taken

by the committee of creditors as well, and dealt with

appropriately in the final resolution plan.

In the event, the appellant has any grievance about 3

the nature or manner of provision made in the final

resolution plan qua its claim; and if aggrieved with the

final resolution plan, may take recourse to appropriate

remedy as per law.

All contentions available to the appellant in that

regard are left open while once again making it clear

that the claim of the appellant has not been treated as

extinguished.

In view of the above, the civil appeal is disposed

of.

As the appeal is disposed of, the interim order

passed earlier stands vacated.

As a result of which, we expect the concerned

authorities to expedite the process of resolution.

Pending applications, if any, stand disposed of.

…...................J (A.M. KHANWILKAR)

…...................J (B.R. GAVAI)

…...................J (HRISHIKESH ROY) New Delhi November 16, 2020 4

ITEM NO.2 Court 4 (Video Conferencing) SECTION XVII

S U P R E M E C O U R T O F I N D I A RECORD OF PROCEEDINGS

Civil Appeal No(s). 2798/2020

NTPC LTD. (SIMHADRI PROJECT) Appellant(s)

VERSUS

RAJIV CHAKRABORTY Respondent(s)

(IA No. 79427/2020 - CLARIFICATION/DIRECTION)

Date : 16-11-2020 These matters were called on for hearing today.

CORAM :

HON'BLE MR. JUSTICE A.M. KHANWILKAR HON'BLE MR. JUSTICE B.R. GAVAI HON'BLE MR. JUSTICE HRISHIKESH ROY

For Appellant(s) Mr. Tushar Mehta, S.G. Mr. Adarsh Tripathi, Adv. Mr. Gaurav, AOR

For Respondent(s) Mr. C.U. Singh, Sr. Adv. Ms. Vanita Bhargava, AOR Mr. Ajay Bhargava, Adv. Mr. Siddharth Srivastava, Adv. Mr. Mohit Kishore, Adv. Ms. Warmika Trehan, Adv. Mr. Shivank Diddi, Adv.

UPON hearing the counsel the Court made the following O R D E R

The Civil Appeal is disposed of in terms of the signed order.

Pending applications, if any, stand disposed of.

(DEEPAK SINGH) (VIDYA NEGI) COURT MASTER (SH) COURT MASTER (NSH)

[Signed order is placed on the file]