The Tribunal allowed an application under Section 22 of the IBC, 2016, replacing the appointed IRP with a Resolution Professional nominated by the CoC, rejecting objections based on the RP's location.
Replacement of the IRP Mr. Ashish Shah with Mr. Rishabh Chand Lodha as RP was allowed.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
IN THE NATIONAL COMPANY LAW TRIBUNAL, AHMEDABAD COURT - 2
Item No.217 – IA 03 of 2023 In CP(IB)/184(AHM)2022
Proceedings under Section 9 IBC
IN THE MATTER OF: Aries Paper Company V/s Saurastra Specialities Pvt Ltd
........Applicant ........Respondent
Order delivered on 19/01/2023
Coram:
Dr. Deepti Mukesh, Hon’ble Member(J) Ajai Das Mehrotra, Hon’ble Member(T)
PRESENT:
For the Applicant : Mr. Lalit Patel, Adv. For the Respondent : Mr. Navin Pahwa, Sr. Adv. ORDER
Application is filed u/s 22 of the IBC, 2016 seeking replacement of the IRP by RP. Learned Counsel for the Applicant CoC states that original IRP Mr. Ashish Shah who was appointed by the Bench vide order dated 31.10.2022 is being replaced by Mr. Mr. Rishabh Chand Lodha by CoC by passing a resolution in the first meeting of the CoC held on 30.11.2022. Copy of the minutes of the said meeting are annexed with the application. The consent form is also annexed with the application. At this stage, Learned Senior Counsel Mr. Pahwa states that Suspended Management would like to object, to this appointment as the RP is from Bhilwara, Rajasthan and company is situated in Rajkot in State of Gujarat, hence, IRP / RP from a different state may not be able to expedite the work being taken by the RP. Considering the resolution passed by 100% voting and CoC’s, power to change the IRP / RP, we allow the application, thereby replace the IRP Mr. Ashish Shah with Mr. Rishabh Chand Lodha as RP. In view of the above, application is allowed and disposed of.
-Sd-
-Sd-
AJAI DAS MEHROTRA MEMBER (TECHNICAL)
DR. DEEPTI MUKESH MEMBER (JUDICIAL)
Prakash - Steno
3 issues framed by the court
Whether the Committee of Creditors has the power to replace the Fast Track IRC appointed as IRP
Whether objections regarding the RP's geographical location are a valid bar to appointment
Whether application for replacement of Interim Resolution Professional under Section 22 IBC be allowed
1 provisions across 1 enactments
Aries Paper Company
Saurastra Specialities Pvt Ltd
Dr. Deepti Mukesh
Ajai Das Mehrotra
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
