No direction can be issued to Corporate Debtor/Erstwhile RP to admit claim, after Resolution Plan has been approved & fully implemented leaving no balance of undisbursed resolution money, even under contingency fund provided in the plan – New Empire Textile Processor Pvt. Ltd. Vs. Sangeeta Tex Dyes Pvt. Ltd. – NCLT Mumbai Bench
In this case, an application is filed by M/s New Empire Textile Processors, through its Resolution Professional in the matter of M/s Sangeeta Tex Dyes Pvt. Ltd., the Corporate Debtor under section 60(5) of the IBC and Rule 11 of the NCLT Rules 2016, and seeks directions to the Corporate Debtor and the Erstwhile Resolution Professional of Corporate Debtor, to admit claim of Rs. 1,10,40,000/- and provide a copy of approved resolution plan in the matter of the Corporate Debtor.
The Adjudicating Authority referred the judgment of the Hon’ble Supreme Court in the matter of Committee of Creditors of Essar Steel India Ltd. Vs. Satish Kumar Gupta & Ors. [2019] ibclaw.in 07 SC and held that no direction can be issued to the Corporate Debtor or the Erstwhile Resolution Professional to admit the claim, after the Resolution Plan, in the matter of the Corporate Debtor, has been approved and fully implemented leaving no balance of undisbursed resolution money, even under contingency fund provided in the plan.