Sun Paper Ltd vs S. Dhanapal - (NATIONAL COMPANY LAW APPELLATE TRIBUNAL) (21 Jul 2023)
Delay can be condoned, only if, Applicant assigns a sufficient cause to the satisfaction of the Appellate Tribunal for not filing the Appeal in time prescribed
MANU/NL/0642/2023
Insolvency
Present appeal has been filed with an Application for seeking condonation of delay of 13 days in filing the present Appeal. Counsel for the Applicant has submitted that, the delay of 13 days in filing of the Appeal has been caused because the Appellant came to know about the Order dated 12th May, 2023 only on 27th May, 2023 because the Appellant was Ex-Parte before the Tribunal and took time in filing of the Appeal because the voluminous record relating to the previous proceedings was to be traced.
Section 61(1) of the Insolvency and Bankruptcy Code, 2016 (IBC) provides the Right of Appeal to any person, aggrieved by an Order of the Adjudicating Authority, before the Appellate Tribunal. Section 61(2) provides a statutory period of 30 days for filing such an Appeal in terms of Section 61(1), meaning thereby the Appeal under Section 61(1) can be filed upto a period of 30 days as a matter of right. But the proviso in Section 61(2) extends the period of Limitation beyond the period of 30 days but only upto a period of 15 days for which the Applicant has to assign a sufficient cause to the satisfaction of the Appellate Tribunal for not filing the Appeal in time prescribed under Section 61(2).
In the present case, the Impugned Order was passed on 12th May, 2023. The period of 30 days had expired on 11th June, 2023 whereas the Appeal alongwith the Application for Condonation of Delay was filed on 26th June, 2023. It has not brought on record any evidence as to how it came to know about the Order dated 12th May, 2023 on 27th May, 2023 and the other reason that the Appellant/Applicant had to consult voluminous record is also seems to be a lame excuse for the purpose of seeking Condonation of Delay.
The legislature has provided only a period of 30 days for the purpose of filing of an Appeal in order to ensure expeditious disposal of the Litigation arising out of the IBC and has further provided a window of only 15 days to the Appellate Tribunal to consider an Application for Condonation of Delay that too on being satisfied that there was a sufficient cause with the Appellant/Applicant for not approaching the Court by way of an Appeal in time (within the period of 30 days as prescribed).
Thus, there is no substance in the present Application as it does not inspire confidence for the purpose of constituting a sufficient cause. Application dismissed.
Tags : DELAY CONDONATION SUFFICIENT CAUSE
Share :
|