# In the matter of Writer Business Services Pvt. Ltd. & Anr. Vs. Mr. Ashutosh Agrawala Resolution Professional for Cox & Kings Ltd. Company Appeal (AT) (Insolvency) No. 956 of 2021

> NCLAT judgment dated 2022-02-04. Citation: TCN-2022-NCLAT-00646. The case involves an appeal against an order by the Adjudicating Authority (National Company…

- **Court:** NCLAT
- **Order date:** 4 Feb 2022
- **Citation:** TCN-2022-NCLAT-00646
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/writer-business-services-pvt-ltd-anr-vs-mr-ashutosh-agrawala-resolution-professi-9f09a3a0

## Summary

### Background

The case involves an appeal against an order by the Adjudicating Authority (National Company Law Tribunal, Mumbai Bench) regarding Corporate Insolvency Resolution Process (CIRP) initiated against Corporate Debtor 'Cox & Kings'. The Appellant, Writer Business Services Pvt. Ltd., had a Record Management Agreement with the Corporate Debtor. After CIRP initiation, disputes arose regarding the continuation of services, payment of outstanding dues, and refund of amounts received. The Resolution Professional filed applications seeking directions for the Appellant to continue services and refund payments, while the Appellant sought payment for services and storage charges. The Adjudicating Authority allowed the Resolution Professional's applications and dismissed the

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## Facts

Writer Business Services Pvt. Ltd. (Appellant) entered into a Record Management Agreement with Cox & Kings (Corporate Debtor) on 2007-01-15. The agreement involved Writer Information Management Services, a division of P.N. Writer & Co. Pvt. Ltd., providing record management services. The agreement specified payment terms, requiring the Corporate Debtor to pay charges within 15 days of receiving monthly invoices. On 2019-10-22, CIRP was initiated against Cox & Kings, and a moratorium was declared. The Appellant filed a claim of Rs. 24,60,525 against the Corporate Debtor. Ashutosh Agrawala was appointed as the Resolution Professional on 2020-01-10. The Resolution Professional directed the Appellant to continue providing services, but disputes arose regarding

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## Issues and analysis

### Issue 1: Whether the Adjudicating Authority in exercise of jurisdiction under Section 235A can impose a fine …

**Ratio:** Section 235A provides for punishment for contravention of the provisions where no

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**Reasoning:** The NCLAT reasoned that Section 235A is a provision for awarding a punishment of fine for

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**Interpretation:** The interpretation of Section 235A involves determining whether it empowers the

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**Application:** The NCLAT applied the interpretation of Section 235A to the facts of the case,

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## Parties

- **Judges:** Ashok Bh…; Ashok Kumar…
- **Appellants:** Writer Business…
- **Respondents:** Cox & K…; Ashutosh Ag…

## Timeline

- **2007-01-15 — Agreement…**: Writer Business Services Pvt. Ltd. entered into a Record Management Agreement with Cox &…
- **2019-10-22 — CIRP Init…**: Corporate Insolvency Resolution Process…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 61 — Appeals and Appellate Authority](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-61)

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