Page 456 - IBC Orders us 7-CA Mukesh Mohan

Order Passed under Sec 7
By Hon’ble NCLT Chandigarh Bench
"The Adjudicating Authority shall, within fourteen days of the receipt of the application under sub-section

(2), ascertain the existence of a default from the records of an information utility or on the basis of other
evidence furnished by the financial creditor under sub-section (3)."

In this case, the record relied upon by the "Financial Creditor" establishes the existence of default and the
other conditions being satisfied, the instant petition deserves to be admitted. It is found that the

application filed In the prescribed proforma is complete in all respect.

32. In view of the above, the instant petition is admitted declaring the moratorium prohibiting all of the
following, namely:

a) the institution of suits or continuation or pending suits or proceedings against the corporate debtor
including execution of any judgment, decree or order in any Court of Law, tribunal, arbitration panel or
other authority;

b) transferring, encumbering, alienation or disposing of by the corporate debtor any of its assets or any

legal right or beneficial interest therein;

c) any action to foreclose, recover or enforce any security interest created by the corporate debtor in
respect of its property including any action under the Securitisation and Reconstruction of Financial

Assets and Enforcement of Security Interest Act, 2002 (54 of 2002);

d) the recovery of any property by an owner or lessor, where such property is occupied by or in the
possession of the corporate debtor.

33. It is further directed that the supply of essential goods or services to the Corporate Debtor as specified

by the Insolvency and Bankruptcy Board of India shall not be terminated or suspended or interrupted
during the moratorium period except for those transactions as may be notified by the Central Government
in terms of Section 14(2) of the Code. The moratorium shall take effect from today i.e. 28.07.2017 till the

completion of the Corporate Insolvency Process.

34. The matter is adjourned to 03.08.2017 for passing formal order of appointment of Interim Insolvency
Resolution Professional and further directions. Copy of this order be communicated to both the parties
immediately.

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