Prakash Kumar More vs Uco Bank And Ors
- CitationCompany Appeal (AT) (Insolvency) No. 1163 of 2022
Ratio decidendi
The rule this decision rests on
The Tribunal reasoned from the settlement and payment on record: where the financial creditor has accepted a one-time settlement, the entire amount has been paid, a no-dues letter has issued, and the fees and expenses of the interim resolution professional have been paid, there is no reason to continue the Corporate Insolvency Resolution Process against the corporate debtor. Upon that footing, the admission order is set aside and the corporate debtor is released from the process.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
Prakash Kumar More ...Appellant
Versus
UCO Bank & Ors. ...Respondents
Present: For Appellant: Mr. Abhijeet Sinha, Mr. Sidhartha Sharma, Mr. Arjun Asthana, Advocates For Respondent: Mr. Partha Sil, Mr. Tavish B. Prasad, Jayant Bhattacharya, Advocates for Bank
ORDER
13.04.2023: This Appeal has been filed against the Order passed by the
Adjudicating Authority dated 12th September, 2022 by which order the
Application filed under Section 7 by the UCO Bank, the Financial Creditor has
been admitted.
2. This Appeal was heard by this Tribunal recording the statement of the
Appellant that the matter is likely to be settled and Interim Order was passed
on 22.09.2022 directing not to constitute the Committee of Creditors.
3. A supplementary affidavit has been filed bringing on record the Sanction
Letter dated 2nd December, 2022 of the UCO Bank where a compromise
settlement (OTS) has been accepted. In the supplementary affidavit, the
Appellant has stated that in pursuance of the OTS entire payment has been
made to the UCO Bank and no dues letter has also been issued which is
brought on record dated 06th April, 2023.
-2-
4. It is further submitted that fee and expenses of IRP has also been paid.
5. In view of the aforesaid, we see no reason to continue with the Corporate
Insolvency Resolution Process against the Corporate Debtor. The
Supplementary Affidavit is taken on record. Order dated 12th September, 2022
is set aside. The Corporate Debtor is freed from Corporate Insolvency
Resolution Process. The Appeal is disposed of.
[Justice Ashok Bhushan] Chairperson
[Mr. Barun Mitra] Member (Technical)
Basant/nn
Company Appeal (AT) (Insolvency) No. 1163/2022
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