A Resolution Plan approved under the Insolvency and Bankruptcy Code extinguishes all pre-CIRP claims not included in the plan, and actions taken during a moratorium are legally unenforceable.

O R D E R

1. The Applicants are the Successful Resolution Applicant and the former Resolution Professional who is now the Chairman of the Project Monitoring Committee, as per the terms of the Resolution Plan approved by this Tribunal in CP(IB)/01/KOB/2021. The Applicant is aggrieved with the attachment order passed by the Kerala State Consumer Disputes Redressal Commission (in short “KSCDRC”). The application is filed under Section 31 (4) & 32A of IBC, 2016, read with Rule 11 NCLT Rules, 2016, seeking the following reliefs: -

a) To declare the attachment of Apartment IC in the Nucleus Eleganza Project with 3.32% undivided share situated at land property bearing Sch. No.1/.1Sy.78/3, Area:7Ar26.0000 Sqm, Blk-008, Re Sy. 285/6, effective on 24.01.2024 pursuant to the Ld. KSCDRC's Order dated 09.01.2024 in EA No. 07/2019, as illegal, null, and void ab initio,

b) Direct Respondent No. 2 to forthwith release and remove the attachment over Apartment IC in the Nucleus Eleganza Project with 3.32% undivided share situated at land property bearing Sch. No.1/.1Sy.78/3, Area:7Ar26.0000 Sqm, Blk-008, Re Sy.285/6 effected on 24.01.2024 pursuant to the Ld. KSCDRC's Order dated 09.01.2024 in EA No. 07/2019.

2. SUBMISSIONS MADE BY THE APPLICANTS

i. On 03.07.2015, Respondent No. 1 booked Apartment No. IC situated - (Rupees Twenty-Five Lakh Sixty Thousand Two Hundred and Forty- on the first floor of the Project for a total consideration of ₹25,60,243/ Three only). Subsequently, alleging delay on the part of the Corporate Debtor, Respondent No. 1 cancelled the said allotment and approached the Learned Kerala State Consumer Disputes Redressal Commission by filing CC No. 44/2018 dated 26.03.2018 seeking refund with interest.

ii. The CC No. 44/2018 was allowed by the Ld. KSCDRC vide Judgment dated 14.01.2019 (Annexure-A6), pursuant to which Respondent No. 1 initiated execution proceedings by filing EA No. 07/2019 dated 04.05.2019 before the Ld. KSCDRC. It is stated that both the consumer complaint as well as the execution proceedings were conducted ex parte.

iii. Upon cancellation of the allotment by Respondent No. 1, the Corporate Debtor, under its erstwhile management, re-allotted Apartment No. IC to one Mr. Sidharth K.S., who continues to be the present allottee.

iv. The Company Petition under Section 7 of the Insolvency and Bankruptcy Code, 2016 (“the Code”) came to be filed by a group of homebuyers on 20.01.2021 and the Corporate Debtor was admitted into Corporate Insolvency Resolution Process (“CIRP”) by this Tribunal vide Order dated 18.11.2021 (Annexure-A1), whereupon a statutory moratorium under Section 14 of the Code came into effect.

v. The Respondent No. 1 was fully aware of the initiation of CIRP and, in response to the Public Announcement dated 26.11.2021, preferred his claim in respect of cancellation dues before the then Resolution Professional on 15.12.2021. The said claim was duly admitted and incorporated in the Information Memorandum.

vi. Since no resolution plan was approved by the Committee of Creditors (“CoC”), this Tribunal, vide Order dated 17.03.2023 in IA(IBC)/73/KOB/2023, directed liquidation of the Corporate Debtor.

vii. During the liquidation process, certain allottees approached the Hon’ble NCLAT and secured an Order dated 13.07.2023 in Comp. App. (AT) (CH) (Ins.) Nos. 133/2023 and 140/2023, which directed that the liquidation order be held in abeyance and directed the CoC to consider the revised Resolution Plan submitte