M/S. Tata Steel Bsl Limited Thr. ... vs Union Of India Thr. Secretary ...
2021 Latest Caselaw 7344 Bom

                                                                    17. WPST 10300-21.doc


            IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                    CIVIL APPELLATE JURISDICTION

                     WRIT PETITION (ST.) NO. 10300 OF 2021

 M/s TATA Steel BSL Ltd.                                  ... Petitioner
            Vs.
 Union of India & Anr.                                    ... Respondents

 Mr. Vikram Nankani, Senior Advocate with Mr. Vijay Purohit, Ms. Nikita
 Bangera, Mr. Pratik Jhaveri, Mr. Virendra Vikram i/b P & A Law Offices,
 Advocates for the Petitioner.
 Mr.Ashutosh Mishra, Advocate for the Respondent No.1

                   CORAM       :    SUNIL P. DESHMUKH &
                                    ABHAY AHUJA, JJ.

                   DATE      :   6TH MAY 2021
                      ( THROUGH VIDEO CONFERENCING )

 P. C.

 .         Issue notice to the Respondents, returnable on 22nd June 2021.

Mr. Mishra waives notice for Respondent No.1.

2. Mr. Nankani for the Petitioner states that the issue is covered by

Supreme Court Judgment delivered on 13 th April 2021, in the case of

Ghanashyam Mishra and Sons Pvt. Ltd Vs. Edelweiss Asset

Reconstruction Company Limited. Mr. Nankani draws our attention to

paragraph 95 from the same, which reads thus:-

"95. In the result, we answer the questions framed by us as under:-

(i) That once a resolution plan is duly approved by the Adjudicating Authority under subsection (1) of Section 31, the claims as provided in the resolution plan shall stand frozen and will be binding on the Corporate Debtor and its

Nikita Gadgil 1 of 2

17. WPST 10300-21.doc

employees, members, creditors, including the Central Government, any State Government or any local authority, guarantors and other stakeholders. On the date of approval of resolution plan by the Adjudicating Authority, all such claims, which are not a part of resolution plan, shall stand extinguished and no person will be entitled to initiate or continue any proceedings in respect to a claim, which is not part of the resolution plan;

(ii) 2019 amendment to Section 31 of the I & B Code is clarificatory and declaratory in nature and therefore will be effective from the date on which I & B Code has come in to effect;

(iii) Consequently all the dues including the statutory dues owed to the Central Government, any State Government or any local authority, if not part of the resolution plan, shall stand extinguished and no proceedings in respect of such dues for the period prior to the date on which the Adjudicating Authority grants its approval under Section 31 could be continued."

3. Mr. Nankani submits that the Petitioner has undergone corporate

insolvency resolution process (CIRP) and the resolution plan has been

approved by Adjudicating Authority and the order in original cuts

across the ratio of aforesaid judgment. The order in original concerned

in present matter has been passed on 24 th February 2021, which is not

in accord with said judgment.

4. In view of the same, till the next date there may not be any

coercive action based on the impugned order.

 ( ABHAY AHUJA, J. )                        ( SUNIL P. DESHMUKH, J. )



 Nikita Gadgil                                                            2 of 2