This is a case regarding IA No.337/2022 in CP (IB) No.131/ALD/2017 before the National Company Law Tribunal (NCLT), Allahabad Bench, Prayagraj. The application was filed under Section 60(5) of the Insolvency & Bankruptcy Code, 2016, seeking to declare a sale notice dated 02.03.2022 issued by the Liquidator as null and void, along with all auction processes conducted under it. The applicant, an ex-director/shareholder of the Corporate Debtor, challenged the sale, alleging non-compliance with prior Tribunal orders. The Liquidator argued that the sale was conducted in compliance with liquidation orders and after attempts to transfer the Corporate Debtor as a going concern failed. The NCLAT had previously dismissed appeals challenging the liquidation order.
The Corporate Debtor, Shamken Spinners Limited, was undergoing liquidation. An admission order was passed on 29.05.2018 in a petition filed U/s 7. The Tribunal ordered liquidation on 26.10.2021. The Tribunal directed the Liquidator to first attempt to transfer the Corporate Debtor through a compromise or arrangement under Regulation 2B of the Liquidation Process Regulations, and then to sell it as a going concern. The Liquidator invited an Expression of Interest (EOI) under Section 230 of the Companies Act, but received no response. The Liquidator then proceeded with an e-auction, setting a reserve price of Rs.22 Crore. The auction was conducted on 31.03.2022, and Sujeet Motors (P) Limited was declared the highest bidder (H1) with a bid of Rs.41.05 Crores. The
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An admission order was…
The Tribunal passed an…
This is a case regarding IA No.337/2022 in CP (IB) No.131/ALD/2017 before the National Company Law Tribunal (NCLT), Allahabad Bench, Prayagraj. The application was filed under Section 60(5) of the Insolvency & Bankruptcy Code, 2016, seeking to declare a sale notice dated 02.03.2022 issued by the Liquidator as null and void, along with all auction processes conducted under it. The applicant, an ex-director/shareholder of the Corporate Debtor, challenged the sale, alleging non-compliance with prior Tribunal orders. The Liquidator argued that the sale was conducted in compliance with liquidation orders and after attempts to transfer the Corporate Debtor as a going concern failed. The NCLAT had previously dismissed appeals challenging the liquidation order.
The Corporate Debtor, Shamken Spinners Limited, was undergoing liquidation. An admission order was passed on 29.05.2018 in a petition filed U/s 7. The Tribunal ordered liquidation on 26.10.2021. The Tribunal directed the Liquidator to first attempt to transfer the Corporate Debtor through a compromise or arrangement under Regulation 2B of the Liquidation Process Regulations, and then to sell it as a going concern. The Liquidator invited an Expression of Interest (EOI) under Section 230 of the Companies Act, but received no response. The Liquidator then proceeded with an e-auction, setting a reserve price of Rs.22 Crore. The auction was conducted on 31.03.2022, and Sujeet Motors (P) Limited was declared the highest bidder (H1) with a bid of Rs.41.05 Crores. The
…An admission order was…
The Tribunal passed an…