West Bengal Essential Commodities ... vs Bank Of Maharashtra

NATIONAL COMPANY LAW APPELLATE TRIBUNAL NEW DELHI Company Appeal (AT) (Insolvency) No. 90 of 2017 (Under Section 61 of the Insolvency and Bankruptcy Code, 2016 against order dated 29.05.2017 passed by National Company Law Tribunal, Principal Bench in C.P.(IB) No.240/KB of 2017)

IN THE MATTER OF: West Bengal Essential Commodities Supply Corporation Ltd. ...Appellant

Versus

Bank of Maharashtra ...Respondent

Present: For Appellant: - Shri Subhasish Bhowrnick, Advocate

ORDER

13.07.20 17 This Appeal has been preferred by the appellant - West Bengal

Essential Commodities Supply Corporation Ltd. against order dated 29th May, 2017

passed by Adjudicating Authority (National Company Law Tribunal) Kolkata Bench

in C.P. (IB) No.240/KB/20 17, whereby the application preferred by respondent-

Financial Creditor under Section 7 of the Insolvency and Bankruptcy Code, 2016

(hereinafter referred to as "I&B Code, 2016") has been admitted, declaration of

moratorium and public announcement order has been ordered and Interim

Resolution Professional (IRP) has been, appointed for ascertaining the particulars

of creditors and convening a Committee of Creditors for appointment of Resolution

Professional and for evolving a resolution plan.

Learned counsel appearing on behalf of the appellant submitted that the

appellant is a State Government undertaking and dealing with poor farmers. It is

supplying essential commodities to the farmers and settlement talks are going on

between the appellant and the Financial Creditors. However, such ground cannot

be accepted to 'interfere with the impugned order dated 2911, May, 2017 passed by learned Adjudicating Authority Kolkata Bench under Section 7 of 'I & B Code' 20 16

The learned Adjudicating Authority having noticed that the application preferred by

the respondent Financial Creditor is complete and in absence of any defect,

admitted the application. -

In absence of any infirmity, we are not inclined to interfere with the impugned

order.

However, we make it clear that after ascertaining the particulars of the

creditors, pursuant to public announcement made in the newspaper, if the

appellants intends to settle the dispute with the respondents by paying Rs.27.93/-

crores (the amount as owned by the creditors) and if rest of the creditors are also

satisfied by the appellant, in such case, it will be open, to the. appellant to request

the learned Adjudicating Authority, Kolkata Bench to close the Resolution Process

having satisfied all the creditors. In such case, the Adjudicating Authority will

consider the request and will pass appropriate order un-influenced by the

impugned order dated 29th May, 2017 and the order passed by this Appellate

Tribunal.

The Appeal stands disposed of with the aforesaid observation

[Justice S.J. Mukhopadhaya] Chairperson

[Balvinder Singh] Member (Technical)

/aks/