# In the matter of  Manoharlal Mehta & Ors.  Vs. Anil Vrijdas Rajkotia, Resolution Professional of K K Welding Ltd. CA (AT) (Ins) No. 135 of 2021

> NCLAT judgment dated 2021-03-01. Citation: TCN-2021-NCLAT-00345. The appeal challenges an order by the Adjudicating Authority (NCLT, Mumbai Bench) that…

- **Court:** NCLAT
- **Order date:** 1 Mar 2021
- **Citation:** TCN-2021-NCLAT-00345
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/manoharlal-mehta-ors-vs-anil-vrijdas-rajkotia-resolution-professional-of-k-k-wel-71ad7325

## Summary

### Background

The appeal challenges an order by the Adjudicating Authority (NCLT, Mumbai Bench) that accepted the Resolution Professional's application under Section 33 of the Insolvency and Bankruptcy Code, 2016, leading to the corporate debtor's liquidation. The appellants contend they were not given an opportunity of hearing, violating natural justice principles.

## Facts

The Adjudicating Authority (National Company Law Tribunal), Court-1, Mumbai Bench, issued an order on January 7, 2021, accepting the Resolution Professional's application under Section 33 of the Insolvency and Bankruptcy Code, 2016. This order resulted in the corporate debtor being sent into liquidation. The appellants challenged this order, arguing that they were not provided an opportunity of hearing, thereby breaching the Rules of Natural Justice. During the Corporate Insolvency Resolution Process (CIRP) of the corporate debtor, no Expression of Interest (EoI) was received. Consequently, no Resolution Applicant came forward with a viable and feasible Resolution Plan. The Committee of Creditors (COC), in its meeting held on September 3, 2020, passed a resolution for

…

## Issues and analysis

### Issue 1: Whether the Adjudicating Authority's order to liquidate the corporate debtor violated the …

**Ratio:** The decision of the Committee of Creditors to liquidate the corporate debtor, in the

…

**Reasoning:** The NCLAT found that during the CIRP, no Expression of Interest was received, and no

…

**Interpretation:** The explanation to **Section 33(2)** of the I&B Code, as amended, empowers

…

**Application:** Given that no EoI was filed and no Resolution Applicant came forward with a

…

## Parties

- **Judges:** Bansi Lal…; Ashok Kumar…
- **Appellants:** Manoharlal Mehta…
- **Respondents:** K K Weldin…; Anil Vrijdas…; +1 more
- **Advocates:** For the appellants…

## Timeline

- **September 3, 2020 — COC Resolution for…**: The Committee of Creditors (COC) held a meeting and passed a resolution for the…
- **January 7, 2021 — Adjudicating Authority's…**: The Adjudicating Authority (NCLT, Mumbai Bench) accepted the Resolution Professional's…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 33 — Initiation of liquidation](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-33)

---

This is a preview. The full structured summary, issues, precedents and source judgment are available on CaseEase - Legal Intelligence Simplified: https://caseease.in/cases/ibc/nclat-new-delhi/manoharlal-mehta-ors-vs-anil-vrijdas-rajkotia-resolution-professional-of-k-k-wel-71ad7325