# In the matter of KSK Mahanadi Power Company Ltd. IA No 234 of 2020 in CP(IB)No.492-07-HDB-2019

> NCLT judgment dated 2020-05-09. Citation: TCN-2020-NCLT-01367. The case involves applications (IA No. 234/2020 and IA No. 235/2020) filed in connection with…

- **Court:** NCLT
- **Order date:** 9 May 2020
- **Citation:** TCN-2020-NCLT-01367
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/ksk-mahanadi-power-company-ltd-ia-no-234-of-2020-in-cpibno492-07-hdb-2019-0ac1a3d7

## Summary

### Background

The case involves applications (IA No. 234/2020 and IA No. 235/2020) filed in connection with the Corporate Insolvency Resolution Process (CIRP) of KSK Mahanadi Power Company Ltd. under CP(IB)No.492/7/HDB/2019. Power Finance Corporation Limited (PFC), a lender, initiated the CIRP. Mr. Mahender Kumar Khandelwal was initially appointed as the Interim Resolution Professional (IRP). The Committee of Creditors (CoC) later decided to replace him with Mr. Sumit Binani as the Resolution Professional (RP). IA No. 234/2020 was filed by PFC on behalf of the CoC seeking the appointment of Mr. Sumit Binani as the RP. IA No. 235/2020 was filed by Mr. Mahender Kumar Khandelwal, the IRP, seeking directions to the CoC to reconsider its decision and continue with him as the RP. IA No.

…

## Facts

1. A company petition was filed by Power Finance Corporation Limited (PFC) under Section 7 of the Insolvency and Bankruptcy Code (IBC), 2016 against KSK Mahanadi Power Company Limited, the Corporate Debtor, which was admitted for Corporate Insolvency Resolution Process (CIRP) on 03.10.2019.
2. Mr. Mukesh Khandelwal was appointed as the Interim Resolution Professional (IRP).
3. In the first meeting of the Committee of Creditors (CoC) held on 07.11.2019, the agenda included the authorization for the appointment of the IRP as the Resolution Professional (RP).
4. The IRP sent an email on 15.11.2019 to the CoC members, bringing to their notice an order passed by the Insolvency and Bankruptcy Board of India (IBBI) against him, issued by the Disciplinary Committee of IBBI,

…

## Issues and analysis

### Issue 1: Whether the decision of the CoC to appoint Mr. …

**Ratio:** The CoC has the power to replace the IRP with another Resolution Professional (RP) under

…

**Reasoning:** The Adjudicating Authority observed that the CoC had approved the appointment of Mr.

…

**Interpretation:** Section 22 of the IBC confers the power on the CoC to replace the IRP with

…

**Application:** In this case, the CoC had approved the appointment of Mr. Sumit Binani with the

…

## Parties

- **Judges:** K. Anantha…
- **Appellants:** Power Finance…
- **Respondents:** KSK Mahanadi…; Mahender Kumar…

## Timeline

- **2019-10-03 — CIRP Admi…**: Company Petition filed by PFC Limited U/s.7 of IB Code, 2016 against the Corporate Debtor…
- **2019-11-07 — First CoC M…**: The 1st CoC meeting was held wherein the agenda to discuss the authorization for…

---

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/nclt-chandigarh/ksk-mahanadi-power-company-ltd-ia-no-234-of-2020-in-cpibno492-07-hdb-2019-0ac1a3d7