The case involves an application (IA 461/NCLT/AHM/2022) filed by the Resolution Professional (RP) of GPT Steel Industries Limited under Section 14 read with Section 60(5)(c) of the Insolvency and Bankruptcy Code, 2016, and Rule 11 of the NCLT Rules, 2016. The RP sought to quash show cause notices and a termination order dated 07.04.2022 issued by Gujarat Industrial Development Corporation (GIDC), the respondent. The GIDC had leased property to the Corporate Debtor, on which the Corporate Debtor had built its plant and machinery. After the CIRP was initiated and admitted, disputes arose regarding outstanding dues and interest on those dues, leading to the termination notice. The GIDC claimed outstanding amounts, including interest on delayed payments and power supply
…The Resolution Professional (RP) of GPT Steel Industries Limited filed an application against Gujarat Industrial Development Corporation (GIDC) seeking to quash show cause notices and a termination order issued by GIDC. GIDC had leased property to GPT Steel, on which GPT Steel had built its plant and machinery. After the commencement of the Corporate Insolvency Resolution Process (CIRP), GIDC issued a letter in Form F on 30.07.2019 for Rs.3,96,92,490. The RP partially paid Rs.1,01,65,984 but stated there was no provision for interest in the lease agreement. GIDC, on 22.08.2019, referenced a clause in the lease deed of 06.10.2004 stating that the lessee would pay interest, additional compensation, overheads, etc. GIDC claimed Rs.78,12,480 as principal due on Plot No.301
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GIDC issued a letter in…
The Resolution…
The case involves an application (IA 461/NCLT/AHM/2022) filed by the Resolution Professional (RP) of GPT Steel Industries Limited under Section 14 read with Section 60(5)(c) of the Insolvency and Bankruptcy Code, 2016, and Rule 11 of the NCLT Rules, 2016. The RP sought to quash show cause notices and a termination order dated 07.04.2022 issued by Gujarat Industrial Development Corporation (GIDC), the respondent. The GIDC had leased property to the Corporate Debtor, on which the Corporate Debtor had built its plant and machinery. After the CIRP was initiated and admitted, disputes arose regarding outstanding dues and interest on those dues, leading to the termination notice. The GIDC claimed outstanding amounts, including interest on delayed payments and power supply
…The Resolution Professional (RP) of GPT Steel Industries Limited filed an application against Gujarat Industrial Development Corporation (GIDC) seeking to quash show cause notices and a termination order issued by GIDC. GIDC had leased property to GPT Steel, on which GPT Steel had built its plant and machinery. After the commencement of the Corporate Insolvency Resolution Process (CIRP), GIDC issued a letter in Form F on 30.07.2019 for Rs.3,96,92,490. The RP partially paid Rs.1,01,65,984 but stated there was no provision for interest in the lease agreement. GIDC, on 22.08.2019, referenced a clause in the lease deed of 06.10.2004 stating that the lessee would pay interest, additional compensation, overheads, etc. GIDC claimed Rs.78,12,480 as principal due on Plot No.301
…GIDC issued a letter in…
The Resolution…