# In the matter of RL Logistics Private Limited IA-396-2020 in CP-1226-IB-2018

> NCLT judgment dated 2020-06-18. Citation: TCN-2020-NCLT-01147. The case involves an application filed by the Liquidator of R L Logistics Private Limited,…

- **Court:** NCLT
- **Order date:** 18 Jun 2020
- **Citation:** TCN-2020-NCLT-01147
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/rl-logistics-private-limited-ia-396-2020-in-cp-1226-ib-2018-0642ccb6

## Summary

### Background

The case involves an application filed by the Liquidator of R L Logistics Private Limited, appointed during the Corporate Insolvency Resolution Process (CIRP) initiated under Section 7 of the Insolvency and Bankruptcy Code, 2016. The CIRP was initiated on 27.02.2019, and upon its expiry on 21.10.2019, the Tribunal directed the liquidation of the Corporate Debtor, appointing the applicant as the Liquidator. The company under liquidation had a CHA license, which was cancelled by the customs authority. The liquidator is challenging the cancellation of the CHA license.

## Facts

The Corporate Insolvency Resolution Process (CIRP) was initiated against R L Logistics Private Limited based on an application under Section 7 of the Insolvency and Bankruptcy Code, 2016. The CIRP commenced on 27.02.2019, leading to the appointment of an Interim Resolution Professional (IRP). Subsequently, on 21.10.2019, the Tribunal ordered the liquidation of the Corporate Debtor and appointed a Liquidator. The company under liquidation possessed a CHA license (CHN/R-125/2011-CHA dated 11.07.2011, valid until 10.07.2021) for its Hyderabad office. However, the license was cancelled, causing the Hyderabad office to cease operations from 12.03.2020. The Liquidator became aware of the cancellation when consignment documents were rejected. The Ex-Director of the Company in

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## Issues and analysis

### Issue 1: Whether the Tribunal can grant relief considering the availability of an alternate remedy before …

**Ratio:** The principle is that a court or tribunal should not encroach upon the jurisdiction of

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**Reasoning:** The Tribunal considered the submissions of the counsels and noted that the Customs Act,

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**Interpretation:** This means that if there is a specific legal avenue (like an appeal to CESTAT)

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**Application:** In this case, since the Customs Act provides for an appeal to CESTAT against

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## Parties

- **Judges:** R. VARADH…; Anil Ku…
- **Appellants:** A. Arumugam…
- **Respondents:** R.L. Logistics…; The Office of the…
- **Advocates:** K. Moo…; A.P. Sri…; +1 more

## Timeline

- **2019-02-27 — CIRP Init…**: Corporate Insolvency Resolution Process (CIRP) initiated against R L Logistics Private…
- **2019-10-21 — Liquidation…**: Tribunal directed the liquidation of the…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 60(2) — Adjudicating Authority for corporate persons](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-60)

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