Fee of Resolution Professional from date of order of Liquidation to date of appointment of liquidator – Pankaj Khetan (Erstwhile RP of Kushal International Ltd.) Vs. Jammu & Kashmir Bank Ltd. – NCLAT New Delhi
March 3, 2023
It is the case of the Respondent that since no liquidator was appointed at the time of passing of liquidation order, the Resolution Professional therefore continued in the position of Resolution Professional, only technically, and hence he cannot be allowed to claim fees/expenses without performing the obligatory duties of a liquidator. The application filed by the Resolution Professional demanding payment of fee for the period 28.02.2019, being the date of order of liquidation, till 20.12.2021, being the date of appointment of liquidator, the Adjudicating Authority has reduced the claimed amount. NCLAT held that this was not in order since the fees of the Resolution Professional and that of a liquidator cannot be equated as their duties are different and therefore the matrix for evaluating the reasonability of their fees would also differ. NCLAT concurred in the directions of the Adjudicating Authority as contained in the impugned order with respect to the determination of the fees of the Resolution Professional; expenses incurred by him on site visits; fees of the legal advisor and salary of the security guards and direct that the same shall be paid by the CoC within ten days from the date of uploading of this order. Further all the adverse observations made on the conduct of Resolution Professional in the impugned order is expunged.