Dhiren Shantilal Shah Vs Swastik Productions Pvt. Ltd (NCLAT Delhi)
NCLAT Delhi condoned delay of five days in filing of an appeal as sufficient explanation given by the appellant for the condonation. Accordingly, delay condoned in terms of section 61(2) of the Insolvency and Bankruptcy Code, 2016.
Facts- This is an application praying for condonation of delay of five days in filing of the Appeal. The Applicant states that he was unable to file the present Appeal against the order dated 19.12.2023 within the limitation period due to health ailments.
Conclusion- Held that the delay in filing of the Appeal is only five days and sufficient explanation was given by the Appellant/ Applicant in paragraph (ii) as extracted above. The Appeal has been filed by the Resolution Professional (“RP”), who is living in Mumbai and in the application, it was pleaded by the RP that due to health ailments, he was unable to seek timely legal advice in filing the Appeal. In view of the above, we find that sufficient cause has been shown for condonation of five days delay in filing of the Appeal. Delay condonation application is allowed.
FULL TEXT OF THE NCLAT JUDGMENT/ORDER
This is an application praying for condonation of delay of five days in filing of the Appeal. In paragraph (ii) of the application, the Applicant has given reasons, which are as follows:
“ii. The Applicant states that he was unable to file the present Appeal against the order dated 19.12.2023 within the limitation period due to the below-mentioned reasons:
a. That the Applicant/Appellant/Resolution Professional of High Ground Enterprise Limited is living in Mumbai and due to health ailments, he was unable to seek timely legal advice for filing the Appeal before this Hon’ble Appellate Tribunal.
b. It is submitted that the Applicant could access and read the impugned order dated 19.12.2023 only after a week or two after the impugned order uploaded.
c. That upon becoming aware of the impugned order, the Applicant due to his health ailments, could not immediately seek legal guidance and advice.
d. That after having a conference with his advocate, the Applicant decided to file an Appeal in this Hon’ble Appellate Tribunal.
e. It is submitted that one of the annexures in the Company Petition No.696 of 2020 is a copy of the bank statement of High Ground Enterprise Limited from the account maintained by High Ground Enterprise Limited with Karnataka Bank.
i. It is submitted that the copy of the aforesaid bank statement annexed to the Company Petition is not clear and is illegible.
ii. I endeavored to find a clear copy of the said annexure as the same bank statement shows the payments as mentioned in paragraph 7.13 in the present appeal.
iii. However, I could not find a clear/legible copy of the bank statement.
iv. Hence, the delay in filing the present appeal is partly due to the time taken to search for legible/clear copy of the bank statement.”
2. Notices were issued on the delay condonation application vide order dated 04.03.2024. Reply has been filed by the Respondent, opposing the delay condonation application.
