JUDGEMENT

(Dated: 24.4.2023) DR. ALOK SRIVASTAVA, MEMBER (TECHNICAL) 1. The present appeal has been filed under Section 61 of the Insolvency and Bankruptcy Code, 2016 (in short ‘IBC’) assailing the order dated 06.07.2022 (in short ‘Impugned Order’) passed by the Adjudicating Authority [National Company Law Tribunal, Mumbai] in I.A. No. 1635 of 2022 in C.P. (IB) No. 190(MB)/2018, by which Respondent No. 1 has been directed to put lock and seal on the Plot No. A7, MIDC, Andheri (E), Mumbai – 400093.

2. Briefly, the facts of the case as stated and argued by the Appellant are that the Appellant entered into a Leave and Licence Agreement (in short ‘Agreement’) for taking the premises located at Plot No. A-7, MIDC, Andheri (E), Mumbai – 400093 admeasuring approximately 6000 sq. ft. (built up area) at 1st and 2nd Floor for house for a period of three years commencing from 03.08.2016 to 02.08.2019 (both days inclusive). The Appellant has further stated that Corporate Insolvency Resolution Process (in short ‘CIRP’) was initiated against the Corporate Debtor Shrenuj & Co. by an order of the Adjudicating Authority on 12.03.2019 and during the subsistence of the moratorium the Resolution Professional (‘RP’) extended the Leave and Licence Agreement from 03.08.2019 to 02.07.2020 on requirement of the Corporate Debtor.

Company Appeal (AT) (Insolvency) No. 748 of 2022 Page 3 | 54 3. It is further stated by the appellant that an order for liquidation of the Corporate Debtor was passed on 12.07.2021, whereafter the Liquidator- Respondent No. 1 (in short ‘R-1) started proceedings for liquidation of the Corporate Debtor.

4. During the on-going liquidation proceedings, the Liquidator started the e-auction of the said premises and sent letter dated 04.01.2022 through his legal counsel to the Appellant asking for vacation of the licensed premises and payment of outstanding licence fee within 7 days of the vacation of the said premises, whereafter, the Appellant paid an amount of Rs. 18,83,520/- through a Cheque No. 199479 dated 08.02.2021 as rent for the period of June 2021 to January, 2022, which amount was duly received and the fact of receipt of this amount was acknowledged by the Liquidator vide his e-mail dated 24.03.2022. 5. The Appellant has further stated that he again received a notice dated 13.04.2022 for vacation of the said premises from the Liquidator referring to an early e-mail dated 24.03.2022 sent by the Liquidator asking the Appellant to vacate the said premises on or before 22.05.2022 and also stating that the e-auction of the said premises took place on 06.04.2022 and that the property has been successfully auctioned. The Appellant has submitted that another letter dated 13.04.2022 was sent by the legal counsel of the Liquidator stating that the e-auction was duly concluded and the said premises has been successfully auctioned regarding which the Liquidator had intimated the Appellant earlier, and again calling upon the Company Appeal (AT) (Insolvency) No. 748 of 2022 Page 4 | 54 Appellant to vacate the said premises and handover peaceful and vacant possession on or before 22.05.2022 to the Liquidator. 6. The Appellant has further stated that he sent letter dated 27.05.2022 addressed to the Liquidator stating that the Appellant was the lawful tenant of the said premises and is in uninterrupted and peaceful use of auction on the premises and therefore he is not required to vacate the said premises.

The Appellant further stated that he appeared before the Adjudicating Authority in Interlocutory Application No. 1635/2022 filed by the Liquidator primarily with a prayer for direction to the Appellant to handover the peaceful and vacant possession to the Liquidator.

7. The Appellant has further stated that since it was the tenant of the said premises and continued in uninterrupted possession and occupation of the same since the year 2016, it filed R.A.D Suit No. 259 of 2022 in the Small Causes Court at