If there are disputes with regard to the actions taken on the basis of the Restructuring of the Agreement, that issue is not necessary for the decision by the Adjudicating Authority or Appellate Tribunal – Dr. Naveen Chaudhari Vs. Suraksha Asset Reconstruction Limited -NCLAT
NCLAT held that the subsequent Agreement between Kotak Mahindra Bank and the Corporate Debtor as regards execution of the Restructuring Agreement and whether there is default in the Restructuring Agreement or not, would not be issues which will be necessary for the Adjudicating Authority to decide. It may have been an effort by the Financial Creditor after the debt was assigned to it to work out the restructuring between itself and the Corporate Debtor. If there are disputes with regard to the actions taken on the basis of the Restructuring of the Agreement, that issue is not necessary for the decision by the Adjudicating Authority or this Appellate Tribunal in present set of facts. Broad outline remains that financial debt of Kotak Mahindra Bank was outstanding and the original Applicant – Financial Creditor took over the same by way of Assignment Deed and the amounts are still outstanding which are more than the benchmark under Section 4 of the IBC. There is debt due and default. We find no reason to interfere with the Impugned Order so as to entertain the Appeal.
