STATE BANK OF INDIA Vs. GARG INOX LTD

JUDGEMENT

(1.) An application being CA No. 293/17 has been filed by the Resolution Professional seeking urgent directions from this Bench in view of the orders dated 13.10.2017, 16.10.2017 and 3.11.2017 passed by the Industrial Court, Maharashtra at Pune, inspite of the Mortarium imposed by this Bench. The factum of the Moratorium has been duly brought to the Ld. Presiding Officer of the Industrial Court.

(2.) The Petition for initiating the Corporate Insolvency Resolution Processhad been admitted at the instance of the State Bank of India, a financial creditor. They are also aggrieved by the said order. As per the decision taken by the Committee of Creditors (SBI having a representation of more than 98%) , it was decided that the operation of the Corporate Debtor be shifted from Pune and consolidated with its business operation at Bahadurgarh. The said decision, which was duly approved by the Committee of Creditors was taken in a bid to consolidate the resources of the Corporate Debtor to streamline its financial affairs. As per the mandate under the Code, the Resolution Professional is required to take all such steps as are necessary for preserving the property of the Corporate Debtor and to keep its business as an ongoing concern. The decision to shift the unit from Pune would result in a projected saving of Rs.55 lakhs per month. The decision is crucial for the Corporate Debtor who is deep down in financial crisis and efforts are being made by the Resolution Professional to turn around the business of the Corporate Debtor so as to improve its efficiency and work out its revival plan.

(3.) Pursuant to the order dated 25.07.2017, admitting the application CA (IB) -194/2017, the moratorium came into immediate effect. It is submitted that at the instance of some workers who were aggrieved by the decision to shift the plant from Pune, a complaint was filed before the Ld. Industrial Court which allowed the following prayer of the workers vide its interim order dated 13.10.2017:-