Uco Bank vs Mr. Abhijit Guhathkurta & Ors

IN THE MATTER OF: UCO Bank ...Appellant

Versus Abhijit Guhathkurta, Liquidator and Ors. ...Respondents

Present: For Appellant: Mr. Sumit K. Batra, Mr. Manish Khurana, Advocates For Respondent: Mr. Abhishek Swroop, Advocate for RP Mr. Akshay Supre, Mr. Abhijeet, Advocates

ORDER

15.03.2023: Heard Learned Counsel for the parties.

2. This Appeal has been filed against the Order dated 15th December, 2022

passed in I.A. No. 629 of 2022. The Appellant has filed the Application praying

for Respondent No. 1 to be restrained from disbursing any further amount

received from sale of fixed assets of the Corporate Debtor. The Adjudicating

Authority noticing paragraph 4 of the Order of this Appellate Tribunal dated

27.01.2022 in Company Appeal (AT) Insolvency No. 1068 of 2021 has dismissed

the Application.

3. In paragraph 4 of the Order of this Appellate Tribunal, following has been

observed:

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"4. Learned counsel for the Liquidator submits that as stated by the Liquidator in his reply/counter affidavit, the Liquidator has no objection in distribution of INR 223 crores as per waterfall mechanism under Section 53 of the Insolvency and Bankruptcy Code, 2016 (for short 'Code') subject to undertaking that in event any of the member of the CoC receives any amount surplus to which it was entitled would undertake to return the same."

4. It has been noted in paragraph 4 of the Order of this Tribunal that the

disbursement shall be subject to undertaking that in event any of the member

of the CoC receives any amount surplus to which it was entitled, the same shall

be returned. Thus, disbursement was to be made subject to above undertaking

which protects the interest of all.

5. In view of the aforesaid, we see no error in the Order passed by the

Adjudicating Authority, the Appeal is dismissed.

[Justice Ashok Bhushan] Chairperson

[Barun Mitra] Member (Technical)

Basant/nn Company Appeal (AT) Ins. No. 286 of 2023