Calcutta High Court
R. Piyarelall Iron And Steel Pvt. Ltd vs Ram Prasad Agarwala And Ors on 2 February, 2024
Author: Arindam Mukherjee
Bench: Arindam Mukherjee
OCD-4
ORDER SHEET
EC 176 of 2021
IA No. GA/1/2022, GA/3/2022, GA/4/2023, GA/5/2023, GA/6/2023
IN THE HIGH COURT AT CALCUTTA
Ordinary Original Civil Jurisdiction
(Commercial Division)
R. PIYARELALL IRON AND STEEL PVT. LTD.
VS
RAM PRASAD AGARWALA AND ORS.
BEFORE:
The Hon'ble JUSTICE ARINDAM MUKHERJEE
Date : 2nd February, 2024.
Appearance:
Mr. R.K. Rai, Adv.
Mr. Ankan Rai, Adv.
Mr. Sayantan Das, Adv.
Ms. Vipra Garg, Adv.
Ms. Devanshi Deora, Adv.
For the Award Holders.
Mr. Mainak Bose, Adv.
Mr. Altamash Alim, Adv.
Mr. S. Malik, Adv.
Ms. Sarbani Ghosal, Adv.
For the Judgment Debtor No. 1 to 4 and 6.
Mr. Jayanta Mitra, Sr. Adv.
Mr. Joy Saha, Sr. Adv.
Mr. Sakya Sen, Adv.
Ms. Nilanjana Adhya, Adv.
Mr. Debdut Mukherjee, Adv.
Mr. Kaushik Banerjee, Adv.
Ms. Sidipta Paul, Adv.
For the judgment debtor no.5.
The Court: Today before commencement of the hearing of the execution
application, it is submitted by the award-holder that an application under
Section 7 of the Insolvency and Bankruptcy Code, 2016 (IBC) has been filed by
the State Bank of India against the award-holder before the National Company
Law Tribunal (NCLT) at Kolkata which has been numbered as CP (IB) No.
82/KB/2021.
By an order dated 19th January, 2024, the said application has been
admitted and consequential orders have been passed in view thereof. The
operative portion of the said order dated 19th January, 2024 is set out
hereunder:
29. In the light of the above facts and circumstances, it is, hereby
ordered as follows:
a. The application bearing CP (IB) No. 82/KB/2021 filed by State
Bank of India, the Financial Creditor, under section 7 of the Code
read with rule 4(1) of the Insolvency & Bankruptcy (Application to
Adjudicating Authority) Rules, 2016 for initiating CIRP against R.
Piyarelall Iron & Steel Private Limited, the Corporate Debtor, is
admitted.
b. There shall be a moratorium under section 14 of the IBC.
c. The moratorium shall have effect from the date of this order till the
completion of the CIRP or until this Adjudicating Authority approves
the resolution plan under sub-section (1) of section 31 of the IBC or
passes an order for liquidation of Corporate Debtor under section 33
of the IBC, as the case may be.
d. Public announcement of the CIRP shall be made immediately as
specified under section 13 of the Code read with regulation 6 of the
Insolvency & Bankruptcy Board of India (Insolvency Resolution
Process for Corporate Persons) Regulations, 2016.
e. Mr. Yogesh Gupta, registration number IBBI/IPA-
001/IPP00349/2017-2018/10650, email id: yogeshgupta31@
rediffmail.com, is hereby appointed as Interim Resolution
Professional (IRP) of the Corporate Debtor to carry out the functions
as per the Code subject to submission of a valid Authorisation of
Assignment in terms of regulation 7A of the Insolvency and
Bankruptcy Board of India (Insolvency Professional) Regulations,
2016. The fee payable to IRP or the RP, as the case may be, shall be
compliant with such Regulations, Circulars and Directions as may
be issued by the Insolvency & Bankruptcy Board of India (IBBI). The
IRP shall carry out the functions as contemplated by sections 15,
17, 18, 19, 20 and 21 of the Code.
f. During the CIRP period, the management of the Corporate Debtor
shall vest in the IRP or the RP, as the case may be, in terms of
section 17 of the IBC. The Directors, officers and managers of the
Corporate Debtor shall provide all documents in their possession
and furnish every information in their knowledge to the IRP within
one week from the date of receipt of this Order, in default of which
coercive steps will follow. There shall be no future opportunities in
this regard.
g. The Interim Resolution Profession is expected to take full charge of
the Corporate Debtor, its assets and its documents without any
delay whatsoever, and is also free to take police assistance in this
regard, and this Court hereby directs the concerned Police
Authorities to render all assistance as may be required by the
Interim Resolution Professional in this regard.
h. The IRP/RP shall submit to this Adjudicating Authority periodical
report with regard to the progress of the CIRP in respect of the
Corporate Debtor.
i. The Financial Creditor shall deposit a sum of Rs.3,00,000/- (Rupees
Three Lakh only) with the IRP to meet the expenses arising out of
issuing public notice and inviting claims. These expenses are subject
to approval by the Committee of Creditors (CoC).
j. In terms of section 7(5)(a) of the Code, Court Officer of this Court is
hereby directed to communicate this Order to the Financial Creditor,
the Corporate Debtor and the IRP by Speed Post and email
immediately, and in any case, not later than two days from the date
of this Order.
k. Additionally, the Financial Creditor shall serve a copy of this Order
on the IRP and on the Registrar of Companies, West Bengal, by all
available means for updating the Master Data of the Corporate
Debtor. The said Registrar of Companies shall send a compliance
report in this regard to the Registry of this Court within seven days
from the date of receipt of a copy of this order.
It is submitted by the award-holder that since CIRP has been initiated
the award-holder is now required to be represented by the IRP/RP. The award-
holder, therefore, seeks an adjournment so that necessary representation by
the IRP/RP can take place on behalf of the award-holder.
Considering the order dated 19th January, 2024 and the submissions
made on behalf of the award-holder, the matter is adjourned till 1st March,
2024.
A copy of the order dated 19th January, 2024 placed before the Court is
kept with the record.
(ARINDAM MUKHERJEE, J.)
snn.
