Should a Revenue Recovery Certificate (RRC) issued under the Industrial Disputes Act, 1947 be treated as a secured creditor under section 3(30) of the IBC? – Hotline Glass Ltd. Majdoor Sangh Vs. Mr. Jigar Pradipchandra Shah RP of Hotline Glass Ltd. – NCLT Indore Bench
December 12, 2024
Hon’ble NCLT Indore Bench held that in the present case the issue of rejection of the claim by the resolution professional on the basis that the claim made by the applicant are belated claims and barred by limitation can be overlooked and can be condoned, as the action for such claim was already taken by the applicant in time and the delay in execution of such RRC was on the part of the Government official appointed for execution of such RRC and the applicant cannot be held responsible for such delay on the part of execution. Further, it is the responsibility of an employer to make a provision with regards to the part of the gratuity amount payable towards the employees/workmen, so as to the part of the gratuity claim concerned that should be considered by the resolution professional.