ORDER

1. This application has been filed under Section 42 of the Insolvency and Bankruptcy Code, 2016 (hereinafter referred to as ‘Code’) by the Deputy Commissioner (Assmt.), Special Circle, Thrissur, Central Sales Tax against Mr. George Varkey, the Liquidator of M/s Propyl Packaging Limited (hereinafter referred to as ‘Liquidator’), with a prayer to direct the respondent/Liquidator to accept the A2 claim of the appellant, creditor.

2. M/s Propyl Packaging Limited (‘Corporate Debtor’) was admitted into Corporate Insolvency Resolution Process by order of this Tribunal dated 14.02.2020 in IBA/52/KOB/2019. The respondent was appointed as the Interim Resolution Professional by way of the same order. At the first meeting of the Committee of Creditors of the corporate debtor, the respondent was appointed as the resolution professional. Consequently, this Tribunal passed an order under section 33(1) in IA(IBC)/106/KOB/2021 in IBA/52/KOB/2019 dated 18.11.2021 admitting the corporate debtor into liquidation.

3. The corporate debtor was a registered dealer under the Central Sales Tax Act, 1956 (‘CST Act, 1956’) falling under the jurisdiction of Deputy Commissioner (Assmt.), Special Circle, Thrissur bearing TIN: 32081015452.

4. The appellant, on completion of assessment under the KVAT Act, 2003 and CST Act, 1956 for the years 2009-10, 2012-13, 2014-15, 2015-16, 2016-17 and 2017-18, determined that the corporate debtor has a liability of tax and interest amounting to Rs. 4,60,11,238. The details of each assessment are as follow:-

5. The appellant submitted his claim in Form C on 20.12.2021 in response to the public announcement by the liquidator on 24.11.2021 calling for stakeholders to submit their claims by 22.12.2021.

6. The liquidator rejected the claim of the appellant in Form C for Rs. 4,60,11,238 vide email dated 11.11.2022 as given below:

“You have submitted your claim in Form C on 20.12.2021 for Rs. 4,60,11,238/-, against the public notice of Liquidation Process of M/s. Propyl Packaging Ltd. Your claim amount was based on various Assessment Orders passed after 14.02.2020. As you are aware, the Corporate Insolvency Resolution Process (CIRP) of M/s. Propyl Package Ltd was ordered on 14.02.2020 by Hon’ble National Company Law Tribunal (NCLT). Kochi Bench vide order No. IBA/52/KOB/2019/184 dated 17.04.2020 (the said order). The copy of the said order is attached herewith. By this said order, Hon’ble NCLT has ordered for the commencement of moratorium as envisaged under Sec. 14(1) of Insolvency and Bankruptcy Code, 2016 which "prohibits the institution of suits or continuation of pending suits or proceedings against M/s. Propyl Packaging Ltd. including execution of any judgment. decree or order in any court of law, tribunal, arbitration panel or other authority" (page 6 and 7 of the said order attached herewith). By this order it prohibits any proceedings which include the tax assessments by the governments. It is also the view of the Hon’ble NCLT in the recent cases as appeared in the Court that all the Tax assessments during the CIRP process are void. Various decisions by the Hon’ble Supreme Court of India also are in line with the said order. At the beginning I took the view that the claim can be admitted in the Liquidation process. But based on the said order, various decisions of the Apex court and the legal opinion received. the liquidator is not permitted to admit the claim submitted by the state tax department where the claimed amount is based on assessments done during the CIRP process. Hence your claim cannot be admitted since your claim was based on the assessment orders passed during the CIRP period. Claimed amount: Rs. 4,60,11,238/-, Admitted amount: 0, Rejected amount: Rs. 4,60,11,238/-, it is the intimation for rejection of claim under Section 40(2) of the Insolvency and Bankruptcy Code, 2016.”

7. The learned counsel for the appellant has contended that the liquidator’s decision to reject the claim is erroneous and that the cla