Liquidation order of Ballarpur Industries set aside
The National Company Law Appellate Tribunal (NCLAT) Principal Bench, while adjudicating an appeal filed in Finquest Financial Solutions vs Anuj Jain (erstwhile RP of Ballarpur Industries) and others, has set aside the order dated 25 January 2022 passed by NCLT Mumbai Bench whereby Ballarpur Industries was sent to liquidation.
04 May 2022 | By Rahul Kumar
An appeal was filed by Finquest Financial Solutions before the NCLAT against the earlier order
Now, the NCLAT Bench has extended the corporate insolvency resolution process (CIRP) period till 30 April and has directed the resolution professional to get the revised resolution plan approved by the NCLT Mumbai Bench. The order was passed on 19 April.
The Mumbai bench of the National Company Law Tribunal (NCLT) had on 25 January 2022 ordered liquidation of Gautam Thapar-owned BILT after the CoC rejected the only resolution plan submitted by Finquest Financial Solution, one of the financial creditors.
Staying the liquidation order, the appellate tribunal said that it is of the view that ends of justice be served in issuing direction to the CoC to reconsider the revised resolution plan within a period of six weeks from today. “It goes without saying that resolution professional should convene a meeting of CoC for reconsideration of the revised plan forthwith," said the bench of Justice Alok Bhushan.
Finquest Financial, which had appealed against the liquidation order, argued before the NCLAT that while the order of liquidation was made on 25 January 2022, the order was uploaded on NCLT website only on 22 February. In the meanwhile, the resolution applicant had submitted its revised plan on 7 February.
An appeal was filed by Finquest Financial Solutions before the NCLAT against the order.
(Courtesy: Agencies)
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