IN RE Vs. BURN STANDARD COMPANY LTD

JUDGEMENT

(1.) Ld. Counsels for the petitioners and the corporate creditor M/s. Jindal Stainless Limited as well as Ld. Counsels for Burn Standard Ex-Employees Welfare Association, Howrah, Burn Standard Employees Union (CITU) and for Hare Ram Thakur are present.

(2.) Shri Partha Kamal Sen, IRP, has submitted Progress Report in this case, wherein it is mentioned that the present term of the IRP has ended on 30/06/2017 as per provisions of IBC. He has further mentioned in the report that the matter was discussed in detail and the authorized representative of the UBI has stated that the decision regarding appointment of Resolution Professional (RP) will be taken after discussions with the competent authority in due course of time.

(3.) It appears from the record that in the CoC meeting dated 30/06/2017 no decision was taken by CoC for the appointment of RP, whereas it is mandatory in the first meeting of CoC either to confirm the IRP as RP or change IRP. But the CoC did not decided the same and deferred the matter, on the basis that after discussions with the competent authority in due course of time they will decide. Financial Creditor is not at liberty to defer the matter in such a situation. CoC is directed to decide regarding the appointment of RP, failing which I will recommend to Insolvency and Bankruptcy Board of India to appoint any other person as Resolution Professional.