Bikki Raveendra Babu, Member - (1.) The Applicant Bank, originally filed Company Petition No. 47 of 2016 before the Hon'ble High Court of Madhya Pradesh, at Indore Bench against Respondent under Section 433(e) and (f), 434 and 439 of the Companies Act, 1956 read with Rule 9 of the Company Court Rules, 1959. The Hon'ble High Court of Madhya Pradesh, Indore Bench, transferred the above said Petition to the National Company Law Tribunal, Ahmedabad Bench in view of Rule 5 read with Rule 7 of the Company (Transfer of pending Proceedings) Rules, 2016. Thereafter, Applicant furnished further information and filed the necessary Forms before this Tribunal which came to be registered as "CP (IB) No. 54 of 2017".
(2.) The case of the Applicant Company, in brief, is as under; 2.1 The Applicant Bank is a Banking Company within the meaning of Section 5(c) of the Banking (Regulation) Act, 1949 having its Registered Office at Trishul, Law Garden, Ahmedabad, Gujarat and Corporate Office at Axis House, Worli, Mumbai. Shri Sumit Sharma, Branch Manager of the Applicant Bank, Indore, is authorised to file this Petition by way of General Power of Attorney dated 22nd May, 2011. 2.2 Respondent Company is a Company registered under the Companies Act, 1956 having its Registered Office at Vatsalya Chambers, Indore. The Object of the Respondent Company is to carry on the business of construction, development etc. The Authorised Share Capital of Respondent Company is Rs. 21,00,00,000/- divided into 2,10,00,000 Equity Shares of Rs. 10/- each. 2.3 On the request of the Respondent Company, the Applicant Bank sanctioned Term Loan to the tune of Rs. 55 Crores for development of Chandpur-Alirajpur-Kukshi-Barwani Road on the terms and conditions mentioned in the Sanction Letter dated 24.3.2011 which was duly accepted by the Respondent Company. The reduction in rate of interest was sanctioned and conveyed to Respondent Company vide letter dated 04.01.2013. 2.4 The Respondent Company had executed the following Agreements; 1. Escrow Account Agreement; 2. Term Loan Agreement; 3. Composite Hypothecation Deed; 4. Loan Agreement. Respondent Company availed credit facility but not paid the outstanding dues to the Applicant Bank towards the Credit Facility. The account of the Respondent Company became a non-performing asset with effect from 29.11.2013 in the books of accounts of the Applicant Bank. The Applicant Bank issued a Demand Notice under Section 434 of the Companies Act, 1956, on 21.4.2016. In that Demand Notice, Applicant Bank claimed outstanding amount of Rs. 68,07,42,449/- as on 20th April, 2016 and called upon the Respondent Company to pay the said amount with further interest at contractual rate from 21.4.2016. 2.5 Applicant filed Form-1 before this Tribunal on 5th June, 2017.
(3.) Rule 4 Sub-Rule (3) of Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016 require the Applicant to despatch forthwith copy of Application filed with the Adjudicating Authority by Registered Post or Speed Post to the Registered Office of the Corporate Debtor. On 02.8.2017, when the matter was heard before this Adjudicating Authority, it was brought to the notice of this Authority that a copy of the Application has not been despatched to the Respondent Corporate Debtor. It is also found out that the Applicant did not disclose the information relating to the proceedings pending before Debt Recovery Tribunal in Item No. 2 Para 5 of Form-1. It has also come to light that Applicant has not filed Escrow Agreement, Concession Agreement and Substitution Agreement. Thereupon, this Adjudicating Authority directed the Registry to give Notice to the Applicant to rectify the above said defects within 7 days. Accordingly, a Notice was issued by the Registry to the Applicant. Applicant, in compliance with the direction, filed the following documents; 1. Copy of Original Application No. 455 of 2016 along with Annexures filed by Financial Creditor before Debt Recovery Tribunal at Jabalpur; 2. Copy of Concession Agreement dated 30th June, 2017 between Madhya Pradesh Road Development Corporation Limited ['MPRDC'], Corporate Debtor/Respondent Company; 3. Copy of Substitution Agreement dated 4th October, 2011 between MPRDC. Corporate Debtor and Financial Creditor; 4. Copy of Escrow Account Agreement dated 4th October, 2011 between Corporate Debtor, Financial Creditor and MPRDC; 5. Order dated 7th December, 2016 passed in Company Petition No. 47 of 2016; 6. Orders dated 23rd January, 2017 passed in Company Petition No. 47 of 2016. Applicant also served a copy of the Application on the Respondent.;