The Applicants, who are the Suspended Management / former employees of the Corporate Debtor, filed an application seeking the disbursement of their salaries for the period of January to April 2019, and superannuation dues. The Corporate Debtor was undergoing Corporate Insolvency Resolution Process (CIRP) after an application under Section 9 of the Insolvency and Bankruptcy Code, 2016 was admitted on 14.12.2018. The Resolution Professional (RP) was appointed and later confirmed by the Committee of Creditors (CoC). The order of admission was briefly stayed by the Supreme Court. The applicants claimed that they had not received their salaries since the commencement of CIRP.
The Applicants, former management of Nicomet Industries Ltd, sought disbursement of salaries from January to April 2019 and superannuation dues. CIRP commenced on 2018-12-14. Devang P. Sampat was appointed as the Interim Resolution Professional (IRP) and later confirmed as the Resolution Professional (RP). The Supreme Court briefly stayed the CIRP order. Applicants claimed non-receipt of salaries post-CIRP commencement. The RP stated non-payment was due to lack of funds and CoC's reluctance. The CoC rejected a resolution for salary payments. The Corporate Debtor was ordered into liquidation on 2020-12-16. Applicant No. 4 claimed ₹69,73,619 towards superannuation benefits, largely pre-CIRP.
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Application under Section 9 of the Insolvency…
The order of admission…
The Applicants, who are the Suspended Management / former employees of the Corporate Debtor, filed an application seeking the disbursement of their salaries for the period of January to April 2019, and superannuation dues. The Corporate Debtor was undergoing Corporate Insolvency Resolution Process (CIRP) after an application under Section 9 of the Insolvency and Bankruptcy Code, 2016 was admitted on 14.12.2018. The Resolution Professional (RP) was appointed and later confirmed by the Committee of Creditors (CoC). The order of admission was briefly stayed by the Supreme Court. The applicants claimed that they had not received their salaries since the commencement of CIRP.
The Applicants, former management of Nicomet Industries Ltd, sought disbursement of salaries from January to April 2019 and superannuation dues. CIRP commenced on 2018-12-14. Devang P. Sampat was appointed as the Interim Resolution Professional (IRP) and later confirmed as the Resolution Professional (RP). The Supreme Court briefly stayed the CIRP order. Applicants claimed non-receipt of salaries post-CIRP commencement. The RP stated non-payment was due to lack of funds and CoC's reluctance. The CoC rejected a resolution for salary payments. The Corporate Debtor was ordered into liquidation on 2020-12-16. Applicant No. 4 claimed ₹69,73,619 towards superannuation benefits, largely pre-CIRP.
Application under Section 9 of the Insolvency…
The order of admission…