Punjab National Bank vs M/S Apple Sponge And Power Ltd And Ors

In the matter of: Punjab National Bank ....Appellant Vs. Apple Sponge and Power Ltd. & Ors. ...Respondents For Appellant Mr. Rajinder Wali, Advocate. For Respondents Mr. Manohar Malik, Advocate.

ORDER

(Hybrid Mode)

08.08.2024: Heard Counsel for the parties.

2. This Appeal has been filed against the order dated 18.07.2024 passed

by the Adjudicating Authority (National Company Law Tribunal) New Delhi

Court III, by which order the Adjudicating Authority has rejected the

application IA No.2535 of 2024 by which the Applicant has prayed for waiver

of the cost of Rs.1 lakh imposed on the Appellant. The Financial Creditor has

filed Section 7 application in which an application for amendment was filed

praying for amendment of Part-IV which was allowed against which the

Corporate Debtor has filed Company Appeal (AT) (Insolvency) No.196 of 2024.

The Appeal was disposed of by this Tribunal and in paragraphs 3 and 4 of the

order, following was directed:-

"3. Learned Counsel-Mr.Gaurav Mitra appearing for the Appellant submits that date of default which was initially mentioned could not be allowed to be changed 2

since the question of limitation shall also arise. It is further submitted that the Adjudicating Authority has made the observation in paragraph 13 touching the merits on the issues which was uncalled for since the Adjudicating Authority was only deciding the Amendment Application.

4. Learned Counsel for the Respondent replying the submissions of the Appellant contends that date of NPA was mentioned in the Application and there was decree by DRT dated 19th September, 2019 on that basis, the date of default was picked."

3. Subsequent to the order dated 31.01.2024, Appellant served the copy of

the amendment application on the other Corporate Debtor on 08.02.2024 and

e-filed amendment application on 09.02.2024. It appears that the application

was taken before the Adjudicating Authority and it was found that the

amendment application was not on the DMS. Adjudicating Authority issued

direction to serve the copy of the application again on the Corporate Debtor

and by an order dated 18.04.2024 imposed cost of Rs.1 Lakh on applicant for

non-compliance of the order dated 22.03.2024. Adjudicating Authority gave

the Applicant one-week time as a last opportunity to bring the amendment

petition on the record, failing which appropriate order would be passed.

4. Counsel for the Appellant submits that although application was on the

DMS, however, fresh service of the application was not done due to which the

Adjudicating Authority imposed the cost.

5. Counsel for the Respondent submits that the Applicant has filed

amended application on several occasions and they have changed the Company Appeal (AT) (Insolvency) No. 1570 of 2024 3

application whereas Counsel for the Appellant submits that no change has

been made in the application which was initially filed on 09.02.2024.

6. In the facts of the present, we are of the view that it is only the

amendment application which was filed on 09.02.2024 need to be considered

to which the reply has already been filed by the Corporate Debtor. We are also

of the view that the order imposition of cost of Rs.1 Lakh need to be deleted.

We make it clear that we are not expressing any opinion on the merits of the

contentions of either of the parties. It is for the Adjudicating Authority to

consider and dispose of the matter in accordance with law.

7. The Appeal is disposed of.

[Justice Ashok Bhushan] Chairperson

[Barun Mitra] Member (Technical)

Anjali/nn

Company Appeal (AT) (Insolvency) No. 1570 of 2024