Whether the period excluded by NCLT from the total liquidation process time period should be excluded for the purpose of calculation of the Liquidator’s fee in terms of the slab under Liquidation Process Regulation 4 – Mr. Sanjay Kumar Aggarwal Liquidator of Punjab Basmati Rice Ltd. Vs. Canara Bank – NCLT Chandigarh Bench
NCLT Chandigarh Bench held that:
(i) The liquidator has carried out his responsibility with due diligence and without any prejudice to the applicant or any other stakeholder. A reference is also made to the decision in the case of SIDBI Vs. Shri Vijender Sharma (2022) ibclaw.in 879 NCLAT and Ashish Arjun Kumar Rathi, wherein on similar facts, the Hon’ble NCLAT, Delhi and Chennai, respectively, have allowed exclusion of period of the said liquidation process of the corporate debtor from the calculation of the time taken for realisation and distribution of the assets of the corporate debtor in terms of Regulation 44 read with Regulation 4(3) of the IBBI (Liquidation Process) Regulation 2016.
(ii) In view of the same, we direct that the period of exclusions allowed by this Adjudicating Authority in the orders dated 01.11.2021, 30.03.2022, and 02.02.2023 be also excluded for the computation of the liquidation period for the purpose of calculating the liquidator’s fee slab under Regulation 4 of the Liquidation Process Regulations 2016.
(iii) The Stakeholder Consultation Committee/ respondents-Canara Bank are directed to complete the process of computation of the liquidator fee within 15 days of this order and make the payments thereof within the said period. However, no relief is granted with regard to the other prayers arising out of this main grievance of non-crystallisation of the liquidator’s dues.