S. Rajendran, RP of PRC International Hotels Private Limited vs. Jonathan Mouralidarane - RP to collate or verify the claim in CIRP

NCLAT (01.10.2019) in S. Rajendran, RP of PRC International Hotels Private Limited  vs. Jonathan Mouralidarane [Company Appeal (AT) (Insolvency) No. 1018 of 2019] In the present case RP collated and admitted the amount of claim as -NIL-. On an application U/s 60(5), AA accepted the total claim. RP filed an appeal against the orders of the AA. NCLAT while rejecting the appeal of RP observed that RP should have not moved in appeal.

Excerpts of the order;

01.10.2019 Mr. S. Rajendran, ‘Resolution Professional’ collated the claim of Jonathan Mouralidarane (‘Financial Creditor’) and held that claimed amount as Nil. Against the determination Jonathan Mouralidarane (‘Financial Creditor’) filed  application under Section 60(5) before the Adjudicating Authority (National Company Law Tribunal), Single Bench, Chennai, which after considering the records and notice to the ‘Resolution Professional’, accepted the total claim.

# 2. The ‘Resolution Professional’ has challenged the decision of the aforesaid order dated 31st July, 2019.

# 3. Having heard learned Counsel for the Appellant, we are of the opinion that the ‘Resolution Professional’ had no jurisdiction to “determine” the claim as pleaded in the Appeal. He could have only “collated” the claim, based on evidence and the record of the ‘Corporate Debtor’ or as filed by Jonathan Mouralidarane (‘Financial Creditor’). If an aggrieved person thereof moves before the Adjudicating Authority and the Adjudicating Authority after going through all the records, comes to a definite conclusion that certain claimed amount is payable, the ‘Resolution Professional’ should not have moved in Appeal, as in any manner, he will not be affected.

# 4. The Appeal is accordingly dismissed. In the facts and circumstances, though we are inclined to impose costs, but on the request of the Counsel for the Appellant, we are not imposing any costs on the Appellant.

 

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