Rajendra K. Bhutia v. Maharashtra Housing & Area Development Authority

NATIONAL COMPANY LAW TRIBUNAL, MUMBAI BENCH MA 95/2014 in c.P. LO6 t /IBC/MB/2OL7 company and such person is not a creditor and a debtor, the person incurred loss cannot come before this Adjudicating Authorlty under Insolvency & Bankruptcy, if any admission order is glven in such a company for initiating Insotvency Resolution Process ignoring the rights of such persons, what will happen to his rights? At least the creditor knowingly entered into an agreement to take risk if any problem comes tomorrow, but in the case of fraud, such person has not even given his consent to the corporate debtor to fritter away his money through some route which is not known to the victim' Whether thls Bench can ignore such situation saying that since it is section 7 or 9 petition, it will pass an admission order thereafter to proceed with CIRP ignoring the fraud manipulated by the company through its management. There can be myriad situations such as above causing uncertainty to the rights of the parties, if section 238 is applied without taking the context involved in the case into consideration.

44. In view of the reasons above mentioned, this Bench has not found any merit in the application moved by the Resolution Professional/Petitioner, henceforth, lvlA 96/2018 in CP 106U2017 is hereby dismissed without costs, H KUMARRAVIKUMAR DURAISAMY Ivlember (Techn ica l) B.S.V. P Member (Jud icia l)