Mr. Manoj Kumar S/o Late Mr. Dharamchand R/o Karnal, Haryana, had filed a petition under Section 94 of the IBC before the Hon’ble National Company Law Tribunal (NCLT), New Delhi, bearing petition number as C.P. (IB) No. 572/(PB)/2023 on 28.06.2023 for initiation of his insolvency resolution process.The said petition has been admitted by the Hon’ble bench vide its order dated 08.12.2023& through the same order, Ms. Sunita has been appointed as the Resolution Professional. The order of the Hon’ble NCLT, Delhi has marked the beginning of the insolvency proceedings against Mr. Manoj Kumar.
BACKGROUND BEHIND THE INITIATION OF INSOLVENCY PROCEEDINGS BY MR MANOJ KUMAR:
Manoj Kumar Director Cum Personal Guarantor of Corporate Debtor- M/S Ratchet Laboratories Ltd.
M/s Ratchet Laboratories Limited is a Limited Company having its registered office at 8/11, Ground Floor, East Patel Nagar, New Delhi & works at 6 KM Stone, BagbaniaBaddi, Nalagarh Highway, Nalagarh – 174101 (HP) was engaged in manufacturing of Liquid, ointment, tablets, capsules, dry syrup, dry powder injections, liquid injections, ear drops, external lotion & sachet. The Corporate Debtor was incorporated on January 20, 2004 by Mr. Manoj Kumar Vasudev and Mr. Sanjay Vasudev (Directors/ Promoters) as limited company.
The Corporate Debtor availed credit facilities from Canara Bank to support its operations, secured by personal guarantees from Manoj Kumar and others. However, the Corporate Debtor defaulted on its financial commitments as per the sanction letters and loan agreements. Consequently, the account was declared a Non-Performing Asset (NPA) on September 30, 2014. Following this, Canara Bank, as the Financial Creditor, initiated legal proceedings by issuing a demand notice dated December 6, 2014, under Section 13(2) of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, 2002, against the borrower, M/s Rachet Laboratories Ltd. The notice specified that the Corporate Debtor owed a sum of Rs. 42,99,63,954.60/-, with a requirement to clear the outstanding amount within 60 days of receiving the notice. Despite this directive, the Corporate Debtor failed to meet its payment obligations within the stipulated timeframe, leading to further legal actions.
The Financial Creditor took decisive action by issuing a Possession Notice on 20th January 2016, pursuant to Section 13(4) of the Securitization Act, 2002. Empowered by the provisions of Section 13(4), the Financial Creditor exercised its right to enter the premises and take possession of the secured assets, including plant &machinery, inventories etc. The lender bank e-auction the assets of the corporate debtor and further adjust the sale proceeds against the outstanding debt. The Financial Creditor, Canara Bank, has also filed an application (OA No. 2567 of 2017 “Canara Bank v. M/s Ratchet Laboratories Limited”) before Hon’ble Recovery Tribunal-II, Chandigarh, whereby, seeking repayment from the Corporate Debtor along with all the Guarantors for a sum of Rs. 45,23,58,643/- with interest.
Manoj Kumar -Personal Guarantor For Ratchet Laboratories Limited
M/s Ratchet Biotech Private Limited's Corporate Identification Number is (CIN) U74899DL2001PTC110114 and its registration number is 110114. Its registered address is 8/11 GROUND FLOOREAST PATEL NAGAR, NEW DELHI, Delhi, India - 110008. Ratchet Biotech Private Limited is a private company incorporated on 21st March, 2001.It was engaged in the supplying& trading of Injection, tablets, capsules etc.
The Corporate Debtor- M/s Ratchet Laboratories Ltd also availed credit facilities from another Financial Creditor namely Intec Capital Limited for an amount of Rs. 2,32,67,460/- and secure the debt through deed of Guarantee by Mr. Manoj Kumar & Ms. Meenakshi Vasudeva jointly. In light of the borrower's default in repaying the loan extended by Intec Capital Limited, a Financial Creditor issued a demand-cum-legal notice on 30th March, 2015 to the Corporate Debtor, urging the immediate settlement of the outstanding loan balance totaling Rs. 82,49,324/. Subsequently, Intec Capital Limited invoked the personal guarantee executed by Mr. Manoj Kumar via demand notice dated 30.03.2015.Thereafter, the Financial Creditor (Intec Capital Limited) has parallelly filed a suit under Section 138 of Negotiable Instrument Act, 1881 and the same is pending before Chief Metropolitan Magistrate, Saket Court Complex, Delhi, bearing Criminal complaint no. 614944 of 2015 in the name of Intec Capital Limited v. Manoj Kumar, claiming an amount of Rs, 2,32,67,460/-.
APPLICATION FILED BY MANOJ KUMAR U/S 94 OF THE INSOLVENCY & BANKRUPTCY CODE, 2016
Mr. Manoj Kumar due to his inability to pay its debts, filed an application under section 94 of the Insolvency and Bankruptcy Code, 2016 (“Code”) read with Rule 6(1) of the Insolvency and Bankruptcy (Application to Adjudicating Authority for Insolvency Resolution Process for Personal Guarantors to Corporate Debtors) Rules, 2019 (“Personal Guarantor Insolvency Rules”) before the Hon’ble Adjudicating Authority on 07.07.2023,requested Hon’ble Tribunal to admit the application and pass an order for initiating the Insolvency Resolution Process. On the recommendation of Ms. Sunita, Resolution Professional through her report u/s 99 of the code submitted after examining the petition and the related documents, the Hon’ble NCLAT, DelhiBench has admitted the petition & has passed order dated 22.07.2024 u/s 100 of the code for the commencement of Insolvency Resolution Process of Manoj Kumar.
IMPOSITION OF MORATORIUM U/S 101 OF THE CODE
With the admission of application u/s 100, a moratorium has been commenced in relation to all the debts of Mr. Manoj Kumar. Pursuant to the imposition of moratorium under Section 101 of the Code, no legal proceedings can continue or be initiated against the personal guarantor in respect of any debt; and the personal guarantor is barred from transferring, alienating, encumbering or disposing of any of his assets or his legal rights or beneficial interest therein.