Rishav Sanjeev Aggarwal vs Apollo Pipes Limited
- CitationCompany Appeal (AT) (Insolvency) No.337 of 2023
Ratio decidendi
The rule this decision rests on
The Appellate Tribunal, on an application jointly made by the financial creditor and the suspended director recording a settlement of the debt, may set aside an order admitting a Section 7 application and permit the financial creditor to withdraw the application where, in the Tribunal's view, no purpose would be served by continuing the insolvency resolution process; in such circumstances the Interim Resolution Professional stands discharged upon payment of his fee by the financial creditor.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
Rishav Sanjeev Aggarwal ...Appellant
Versus
Apollo Pipes Ltd. & Anr. ...Respondents
Present: For Appellant: Mr. Anuj Tiwari and Ms. Tuhina Misra, Advocates.
For Respondents: Mr. Karan Gandhi and Mr. Shivam Gautam, Advocates.
ORDER
20.03.2023: This Appeal has been filed against the order dated
15.03.2023 by which on an application filed by the Financial Creditor Section
7 application was admitted and the Interim Resolution Professional was
appointed.
2. I.A. No. 1135 of 2023 has been filed jointly by the Financial Creditor and
the Suspended Director of the Corporate Debtor bringing on record the
Consent Terms dated 16.03.2023 under which the Corporate Debtor has
settled the matter for payment of Rs.1.44 Crore. It is submitted that payments
have been made through Demand Draft.
3. Learned counsel for the Financial Creditor submits that the Financial
Creditor has already informed the IRP about the settlement and requested not
Cont'd.../ -2-
to proceed further. He has undertaken to make payment of Rs.1 Lakh to the
IRP as his fee.
4. The Financial Creditor shall make payment of Rs.1 Lakh to the IRP and
IRP may be discharged. Application I.A. No. 1135 of 2023 is taken on record
alongwith the settlement agreement between the parties.
5. In view of the aforesaid, no purpose shall be served in continuing the
insolvency resolution process. In result, the order dated 15.03.2023 is set
aside and the Financial Creditor is permitted to withdraw the application. IRP
shall stand dismissed. Appeal is disposed of.
[Justice Ashok Bhushan] Chairperson
[Barun Mitra] Member (Technical) Archana/nn
Company Appeal (AT) (Insolvency) No. 337 of 2023
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