In re Radhakrishnan Dharmarajan Resolution Professional of Malar Energy & Infrastructure Private Limited (NCLT Chennai)
Under consideration is an Application filed by the Resolution Professional of the Corporate Debtor viz., Malar Energy & Infrastructure Private Limited under Section 30(6) of the Insolvency and Bankruptcy Code, 2016 (hereinafter referred to as the ‘Code’) read with Regulation 39(4) of the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 (hereinafter referred to as the ‘ CIRP Regulations’) read with Rule 11 of the National Company Law Tribunal Rules, 2016 seeking for approval of the Resolution Plan which is placed as Annexure — 17 and certain ancillary reliefs.
2. Before considering the Resolution Plan, this Tribunal is aware of the fact that the ‘UDYAM Registration’ was obtained post the initiation of the CIRP with respect to the Corporate Debtor. However, in the greater interest of the revival of the Corporate Debtor which is categorised as a ‘Small Enterprise’ by the ‘Ministry of Micro, Small and Medium Enterprises’ and in light of the decision of the Hon’ble NCLAT in the case Rakesh Kumar Agarwal Vs. Devendra P Jain, Liquidator of Asis Logistics Ltd [Company Appeal (AT) Ins No. 1034 of 2020] with respect to the Section 240A of the Code, a lenient view is taken for the consideration of the Resolution Plan submitted by the Promoter.
3. ABOUT THE CORPORATE DEBTOR
3.1. The Corporate Debtor is a Private Limited Company registered under the provisions of the Companies Act, 1956. The Corporate Debtor is a MSME unit and registered as a ‘SMALL ENTERPRISE’ with the Ministry of Small & Medium Enterprises, Government of India.
3.2. The Corporate Debtor was incorporated in the year 2007 by the Promoter viz., Mr. R.R. Gopaljee with a vision to provide low cost housing solution specifically to cater to the Medium Income Group / Low Income Group of the Society. The Corporate Debtor provides innovative building solutions for its customers, emphasizing customer service and quality products.
3.3. The current production capacity is 25,000 sq.ft. of slab and 50,000 sq. Ft. of wall panel per day, Column, beam and staircase can be produced as per requirement. In short, the Corporate Debtor is capable of producing precast elements for 30,000 sq.ft. built up area per day.
4. CIRP OF THE CORPORATE DEBTOR:
4.1. The Corporate Insolvency Resolution Process (CIRP) in respect of the Corporate Debtor viz. Malar Energy & Infrastructure Private Limited was initiated by this Tribunal vide order dated 05.07.2019 in an Application (IBA/561/2019) filed under Section 7 of IBC, 2016 filed by Indian Overseas Bank. Consequently, the Applicant was appointed as the Interim Resolution Professional.
4.2. The above order of admission was challenged in appeal before the constitution of the Committee of Creditors in Company Appeal (AT) (Ins) No. 784 of 2019 by the Promoter (R.R. Gopaljee) with an intent to settle the matter with the Financial Creditor, however, vide order dated 24.06.2020, Hon’ble NCLAT dismissed the appeal.
4.3. It is stated that in terms of Section 15 of the Code read with the CIRP Regulations, the Applicant effected Public Announcement on 10.07.2019 in the newspapers viz., ‘Business Standard – English’ and ‘Dina Seithi – Tamil’ where the claims against the Corporate Debtor were invited inter alia fixing 24.07.2019 as the last date for submission of claims. Accordingly, claims were received. The amounts claimed and admitted are summarized below:
a. Financial Creditors
b. Operational Creditors
4.4. It is stated that that a total of 11 COC meetings were held during the CIRP period. Details are as follows:
