Page 167 - IBC Orders us 7-CA Mukesh Mohan

Order Passed Under Sec 7
Hon’ble NCLT Principal Bench

7 (5) Where the Adjudicating Authority is satisfied that—

(a) a default has occurred and the application under sub-section (2) is complete, and there is no
disciplinary proceedings pending against the proposed resolution professional., it may, by order, admit

such application; or

(b) default has not occurred or the application under sub-section (2) is incomplete or any disciplinary

proceeding is pending against the proposed resolution professional, it may, by order, reject such
application:

Provided that the Adjudicating Authority shall, before rejecting the application under clause (b) of
sub-section (5), give a notice to the applicant to rectify the defect in his application within seven days of
receipt of such notice from the Adjudicating Authority."

A conjoint perusal of the aforesaid provision would reveal that form and manner of the application
has to be the one prescribed by the authorities. It is required to be accompanied by the prescribed fee. It is

further evident that if the application is incomplete as per the requirement of Section 7 (2) of the Code
then this Tribunal being the Adjudicating Authority may reject it. However, proviso to Section 7 (5) of

the Code postulates that before rejecting the application on the ground that it is incomplete in terms of
Section 7(2) of the Code the Tribunal is obliged to give notice to the applicant to rectify the defect. The
defect in the application needs to be removed within seven clays from the date of receipt. of notice. No

such situation has arisen and we find that application is complete in all respect.

24. For the reasons, aforementioned this petition is admitted. Shri Rajesh Samson who is duly registered

with Insolvency and Bankruptcy Board of India (IBBIIIPA-001 /IP-P00240 / 2017- 18/ 10469) has been
proposed as an Interim Resolution Professional. He is hereby appointed as an Interim Resolution
Professional. He has filed his certificate of registration with Insolvency and Bankruptcy Board of India.

He has also filed his written communication dated 04.08.2017 in connection with the application to
initiate Corporate Insolvency Resolution Process, The disclosure has been made in the letter dated
04.08.2017.

25. In pursuance of Section 13 (2) of the Code we direct that public announcement shall be made by the
Interim Resolution Professional within the statutory period with regard to admission of this application

under Section 7 of the Code. We also declare moratorium in terms of Section 14 of the Code. Some
necessary consequences of imposing the moratorium flows from the provisions of Section 14 (1) (a), (b),

(c) (d). Thus, the following prohibitions are imposed:

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