IN RE Vs. ANTRIX DIAMOND EXPORTS PVT LTD

JUDGEMENT

(1.) This Petition has been filed by the Corporate Debtor invoking the provision of Section 10 of the Insolvency and Bankruptcy Code (hereinafter referred to as the Code). Unable to liquidate its huge outstanding liabilities and being in clear default towards their Financial Creditors and Operational Creditors, they pray for initiation of Insolvency Resolution Process.

(2.) The said Petition has been filed in the required format giving details of the Corporate Debtor and its Creditors. As required, they have furnished details of the total amount of debt towards the each Financial and Operational Creditor. In addition, they have given the estimated value of the securities held by the Creditors. The Petition is duly annexed with the audited and provisional Balance Sheets and other financial statements of the Corporate Debtor. Ld. Counsel for the Petitioner/Corporate Debtor has drawn the attention of this Bench to the minutes recorded by the Joint Lenders Forum comprising of about 10 Banks which seek to recover amounts in excess of Rs. 428.38 crores from the Corporate Debtor. After a number of meetings held by the Joint Forum, a decision has been taken to initiate proceedings for recovery of the loans given to the Corporate Debtor. The said decision has been taken after extensive rounds of deliberation and several opportunities granted to the Corporate Debtor to reduce/liquidate its liabilities.

(3.) The Petition is also annexed with various invoices of Operational Creditors who seek repayment of their outstanding dues. As per the statement, the liability towards the Operational Creditors is over Rs. 85 crores. This is in addition to the aforesaid liability of Rs. 428.38 crores towards the Financial Creditors.