COMPANY LAW TRIBUNAL ON 09.04.2019 NAME OF THE PARTIES: Andhra Bank. Oracle Home Textile Limited. SECTION: 7 OF THE INSOLVENCY & BABKRUPTCY CODE.. ORDER
1. The Learned Representatives of both the sides are present.
2. MA-1255 dated 03.04.2019 is submitted by Oracle Home Textile Employees Saving and Credit Co-operative Society Limited. The Applicant is seeking a Condonation Order for submission of Resolution Plan under section 30 of I&B Code because of the reason that the cut off date has already expired as advertised by the Learned R.P.
3. In this Application, it is informed that the Applicant is a registered Co-operative Society consisting of employees and workmen of the Corporate debtor. The Society was incorporated for proposing a Resolution Plan so that their expertise can be utilized for the revival of the Corporate Debtor.
4. On 16.01.2019 email was sent to the Resolution Professional expressing an intention to submit a Resolution Plan. Again on 07.03.2019 it was informed to the Learned Resolution Professional to consider the request for submission of the Resolution Plan. The request was not entertained by the Learned R.P., instead in reply asked the Applicant to approach the Honble NCLT. ..2..
5. The Learned Counsel has informed that the Co-operative Society (Applicant) is seeking financial assistance from ARCIL and thereupon on getting assurance has now moved this Application so that the resolution plan can be submitted which shall be advantageous for restructuring of the Corporate debtor.
6. On the other hand the Learned Resolution Professional duly assisted by the Learned Counsel has objected on two grounds, firstly, that the proposal of submission of Resolution Plan is hopelessly late, hence should not be allowed specially when one Resolution plan has already been submitted and put up before Committee of Creditors for approval. The second objection is that the Society is incorporated only on 05.03.2019 i.e. after the date when the CIRP proceedings against the Corporate debtor had already commenced vide an Order dated 09.08.2018 passed under section 7 of the I&B Code.
7. There is one more request of this nature orally argued by the Learned Counsel representing a Resolution Applicant viz. Oracle Home Employees Saving and Credit Co-operative Society Limited and vehemently pleaded that an opportunity be granted to submit a resolution plan which shall be advantageous to all the stake holders.
8. Having heard the submissions of both the sides this Bench is of the view that in the case of Punjab National Bank V/s Bhushan Power & Steel Limited C.A. No. 152(PB)/2018 in C.P.(IB)-202(PB)2017the Honble Principal Bench, NCLT, New Delhi vide an Order dated 23.04.2018 has opined by placing reliance on certain decisions that a Resolution Plan be not rejected on the ground of delay. Hence keeping larger interest in mind that the stake holders should be benefited by comparing 3 Resolution Plans instead of one, I hereby approve that these two Resolution Applicants must submit their Resolution plans on or before 22.04.2019 to the Resolution Professional, otherwise, right to submit the resolution plan shall be forfeited; mainly because of the reason that CIRP period of 270 days is about to expire on 13.05.2019.
9. Thereafter all the resolution plans received by the said date be placed before the Committee of Creditors in time before 30.04.2019. The Committee of ..3.. Creditors to convene the Meeting before 30.04.2019. The decision of the Committee of Creditors on due consideration of the Resolution Plans be communicated to this Bench by 06.05.2019.
10. With these directions this M.A. No. 1255/2019 is allowed.
11. M.A. No. 524/2019 is listed for hearing. By the Order of the Bench adjourned to 04.06.2019. Parties are directed to complete the pleadings well in advance and serve the copies on the other side. Adjourned to 06.05.2019. Sd/- M.K. SHRAWAT Member (Judicial) 09.04.2019 Aah=