The Insolvency and Bankruptcy Board of India (IBBI) suspended the registration of a Resolution Professional (RP), on the ground of delay on the side of Resolution Professional to act as per directions given by Committee of Creditors for obtaining records of Corporate Debtor (CD).
The National Company Law Tribunal, New Delhi, (AA) had admitted the application under Section 7 of the Code for corporate insolvency resolution process (CIRP) of M/s Wianxx Impex Private Limited (CD whereby, Gopal Lal Baser was appointed as Insolvency Resolution Professional (IRP).
It was alleged in the show cause notice that the Committee of Creditors (CoC) suggested to file application before AA for obtaining of records of the CD which were in the custody of Economic Offence Wing (EoW). It is noted that Section 25(2)(a) of the Insolvency and Bankruptcy Code mandates resolution professional to undertake necessary action to take immediate custody and control of all the assets of the Corporate Debtor, including the business records of the Corporate Debtor.
The Resolution Professional submitted that while he was pursuing the matter in the Court, he was continually making efforts for getting the copies of the records from other sources and once it was felt that most of the documents mentioned in search and seizure memo, had been received by him, the matter was not pursued with the Court.
A Single-Member Bench of the Board comprising Jayanti Prasad, Whole Time Member, observed that “Considering the facts and circumstances of the matter and material available on records, the DC finds that due to the repeated instances of dereliction of duties, Baser has grossly failed to perform his duties provided under the Code read with Regulations made thereunder.”
“Hence the Disciplinary Committee, in exercise of the powers conferred under section 220 of the Insolvency and Bankruptcy Code read with regulation 13 of the IBBI (Inspection and Investigation) Regulations, 2017 hereby suspends the registration of Gopal Lal Baser for a period of two years” the Board concluded.
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