The NCLAT, New Delhi Bench has opined that the Appellant who was an ex-director of the Corporate Debtor,  was not part of the CIRP process and hence,  the Appellant was not a stakeholder in the CIRP process.

Brief Facts:

The present appeal has been filed against the order of the NCLT vide which the interim application of the Appellant was rejected. 

Brief Background: 

It was argued that the Appellant that he was the Ex-Director of the Corporate Debtor. The Corporate Insolvency Resolution Process (CIRP) began in 2018 and the resignation by the Appellant was in 2014, uploaded in 2016. 

It was further submitted that the Appellant was also a shareholder of the Corporate Debtor. 

The Appellant had filed an application seeking clarification from the Resolution professional as to whether the shareholding of was considered while assessing the assets and liabilities of the Corporate Debtor and wanted a copy of the resolution plan. 

The NCLT rejected the application stating that the Appellant was not part of the Suspended Board of Directors. 

Hence, the present appeal. 

Contentions of the Resolution Professional:

It was contended that after the process was complete, the Appellant only wanted to attack the CIRP process and wanted a copy of the resolution plan. 

Observations of the Tribunal:

It was noticed that the Appellant was not part of the CIRP process. Further, the Appellant had already resigned as a director. 

It was ruled that the Appellant was not a stakeholder in the CIRP process. 

The decision of the Tribunal:

The Bench dismissed the appeal stating that at such stage the prayers of Appellant were uncalled for. 

Case Title: Diwakar Sharma v. Anand Sonbhadra

Case No.: Company Appeal (AT) (Insolvency) No. 1182 of 2023 

Coram: Justice Ashok Bhushan, Barun Mitra (Technical Member) , Arun Baroka (Technical Member)

Advocates for Appellant: Advs. Mr. Mrinal Harsh Vardhan and Mr. Yougender Singh

Advocates for Respondent: Advs. Mr. Abhishek Anand, Mr. Nipun Gautam, Mr. Mohak Sharma, Mr. Sikhar Tiwari, Mr. Sajal Jain and Ms. Parveen Kaur Kapoor 

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