NCLT cancels CIRP that after the appointment of provisional Liquidator, an application under Section 9 of IBC could not be proceeded – Pawan Kishanchand Tulsiani Vs. Ace Resorts & Infrastructure Pvt. Ltd. – NCLT Ahmedabad Bench
July 15, 2022
The Adjudicating Authority held that as per the provisions of section 279 of the Companies Act, 2013, no suit or other legal proceedings could be proceeded with, by or against the company under winding up, when an order of winding up against such company has been passed or a provisional Liquidator is appointed, except with the leave of the Tribunal. The section 9 application was filed by the Operational Creditor. However, after the appointment of provisional Liquidator by the Hon’ble Gujarat High Court vide order dated 07.02.2020, the said application could not be proceeded with unless such provisional Liquidator makes an application to proceed with the matter, with the leave of this Tribunal. Since, no such application has been preferred by the provisional Liquidator, the main CP was not maintainable. Hence, we are constraind to recall the order of admission dated 10.03.2021 secured by Respondent No. 1 in relation to the Corporate Debtor.