In the matter of JSW Steel Ltd. Vs. Mahender Kumar Khandelwal CA(AT)(Ins) No. 957,1034,1035,1055, 1074,1126,1461 of 2019

One of the question for consideration in these appeal is whether one or other ‘resolution applicant’ is “related party” as defined under Section 5(24) of the ‘I&B Code, 2016’ can be decided by the ‘Enforcement Directorate’, once such decision is taken by the ‘Resolution Professional’ under Section 30(2), thereafter by the ‘Committee of Creditors’ under Section 30(4) and finally by the Adjudicating Authority under Section 31 of the ‘I&B Code’.

In other words, once such question of “related party” is decided for the purpose of Section 29A of the ‘I&B Code’ by the Adjudicating Authority, whether ‘Enforcement Directorate’ can sit over the appeal of such decision. We have heard Mr. Kapil Sibal, learned Senior Counsel appearing on behalf of ‘JSW Steel Ltd.’; Mr. Zoheb Hossain, learned counsel appearing on behalf of ‘Enforcement Directorate’ and Mr. Sanjay Shorey, Director on behalf of ‘Union of India’. Hearing concluded.

Heard Mr. Ramji Srinivasan, learned Senior Counsel appearing on behalf of ‘Committee of Creditors’ and Mr. Abhinav Vasisht, learned Senior Counsel appearing on behalf of the ‘Resolution Professional’. Hearing concluded. Heard Mr. Harin Raval, learned Senior Counsel appearing on behalf of erstwhile Promoter – ‘Sanjay Singal and Anr.’. Hearing remained inconclusive.

Post all the appeals for hearing under the heading ‘for orders’ on 4th February, 2020 at 10.30 A.M. on the top of the list.

In the meantime, it will be open to the parties to file short written submissions, not more than 3 pages, by 3rd February, 2020.

[Justice S.J. Mukhopadhaya]

Chairperson

[ Justice Bansi Lal Bhat ]

Member (Judicial)