Punit Jain vs State Bank Of India And Anr
- CitationCompany Appeal (AT) (Ins.) No.389 of 2024
Ratio decidendi
The rule this decision rests on
The Tribunal sets aside the admission order and frees the corporate debtor from CIRP on the basis of the settlement reached through the OTS, which the bank approved and the payments under which were made, and in the absence of any reason to continue the insolvency process. The Tribunal's reasoning rests on the view that, once the dues have been settled under the approved OTS, there is no basis for continuing the CIRP against the corporate debtor, and it accordingly sets aside the admission order and dismisses the interlocutory application.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
NATIONAL COMPANY LAW APPELLATE TRIBUNAL, PRINCIPAL BENCH, NEW DELHI Company Appeal (AT) (Ins.) No.389 of 2024 IN THE MATTER OF: Punit Jain, Suspended Board of Directors of Cosmas Research Lab Ltd. ...Appellant Versus State Bank of India & Anr. ...Respondents Present: For Appellant: Mr. Krishnendu Datta, Sr. Advocate and Mr. Anand Chibber, Sr. Advocate with Mr. Abhishek Anand, Mr. Vaibhav S., Mr. Karan Kohli, Mr. Deep Prabhu, Ms. Sakshi, Advocates. For Respondents: Mr. PBA Srinivasan, Mr. V. Aravind, Ms. Srishti Bansal and Mr. Sumit Swami, Advocates for R-1. Mr. Viren Sharma, Advocate for R2
ORDER
(HYBRID MODE)
02.04.2024: This Appeal has been filed against the order dated
09.02.2024 passed by NCLT, Chandigarh Bench, Court - 1 by which
application filed by State Bank of India u/s 7 was admitted. In the appeal the
following interim order was passed on 23.02.2024: -
"In the meantime, no further steps shall be taken in pursuance of the
impugned order."
The additional affidavit has been e-filed on behalf of the Appellant on
1st April bringing on record the OTS issued by SBI on 26.03.2024. The OTS
having been approved and the payment with regard to item No. 1 and 2 has
already been paid as per the OTS, receipt has also been filed in the additional
affidavit.
Company Appeal (AT) (Ins.) No.389 of 2024
1 We see no reason to continue the CIRP against the Corporate Debtor.
The affidavit is taken on record. The order dated 09.02.2024 is set aside. The
Corporate Debtor is freed from the CIRP. IA No. 1878 is dismissed. The
Appellant says that the Appellant shall pay the fee and expenses of IRP, if not
already paid. Liberty is also given to the bank to revive the CIRP if any
occasion so arises.
[Justice Ashok Bhushan] Chairperson
[Mr. Barun Mitra] Member (Technical)
[Mr. Arun Baroka] Member (Technical)
ss/nn
Company Appeal (AT) (Ins.) No.389 of 2024
2
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