Anuj Bajpai Vs Inderdeep Construction Company & Anr. (NCLAT Delhi)
Summary: NCLAT New Delhi allowed two connected appeals arising from the common NCLT Ahmedabad order dated 04.07.2024 concerning the sale of Anwesha Engineering & Projects Ltd. as a going concern in liquidation. The first appeal was filed by Liquidator Anuj Bajpai against adverse observations made against him, while the connected appeal was filed by successful bidder Inderdeep Construction Company after its application seeking waivers and concessions was dismissed. The NCLAT noted that the Corporate Debtor had been sold in the first e-auction held on 28.08.2023 for Rs.42.85 crore, exceeding the reserve price/fair market value of Rs.42.60 crore, and the entire consideration was paid and distributed to stakeholders.
The dispute also concerned Regulation 32A(4) of the IBBI (Liquidation Process) Regulations, 2016. Before its amendment, the provision contemplated completion of a going-concern sale within 90 days of liquidation commencement. Regulation 32A(4), however, was amended on 16.09.2022, before the liquidation order dated 13.01.2023 and before the auction held on 28.08.2023. The amended provision required the going-concern sale to be attempted exclusively at the first auction. The NCLAT found that this requirement had been satisfied because the Corporate Debtor was successfully sold in the first attempt. It therefore held that the NCLT could not rely upon the unamended 90-day requirement. The Liquidator’s application seeking condonation of a 131-day delay was treated as an inadvertent exercise in view of the intervening amendment.
