Mehul Patel Vs Nandish S. Vin & Anr. (NCLAT Delhi)
NCLAT Delhi held that withdrawal of application under section 12A of the Insolvency and Bankruptcy Code [IBC] much before application filed u/s. 12A could be heard or allowed in permissible.
Facts- On an application filed by an Operational Creditor- Ispat Traders (India) Pvt. Ltd. u/s. 9 of the IBC. CIRP against the Corporate Debtor commenced vide order dated 09.04.2024. On 17.04.2024, Resolution Professional issued public announcement calling upon creditors to submit their claims. Three Unsecured Financial Creditors submitted their claims. The Interim Resolution Professional was confirmed as Resolution Professional. There was a settlement between the Operational Creditor and the Suspended Director of the Corporate Debtor. The Operational Creditor filed Form FA seeking withdrawal of the Insolvency Petition. CoC in 3rd meeting held on 16.08.2024 gave its approval to withdrawal of the insolvency proceedings.
The IRP filed an application before the Adjudicating Authority praying for withdrawal of the Section 9 application. The Adjudicating Authority noticing the aforesaid statement of the Resolution Professional and taking note of the purshish for withdrawal allowed the Resolution Professional to withdraw IA No.1345 of 2024. The Suspended Director of the Corporate Debtor aggrieved by the order dated 12.11.2024 has filed Company Appeal.
