IN THE NATIONAL COMPANY LAW TRIBUNAL

KOCHI BENCH

KOCHI

IA(IBC)/315/KOB/2022

IN

IBA/39/KOB/2020

(Under Section 60(5) of the Insolvency and Bankruptcy Code, 2016 read with Rule 11 of

NCLT Rules, 2016)

In the matter of:

Regional Provident Fund Commissioner-II (Legal), Employees Provident Fund

Organization, Regional Office, 36/685/A, Bhavishyanidhi Bhavan, Kaloor,

Kochi- 17;

… Applicant

-Versus-

Mr. K. P. Dileep, Resolution Professional in the matter of TIERRA Food India

Pvt. Ltd., Veluthedath House, Ponnurunni, Vyttila.

… Respondent

In the matter of:

Kerala State Industrial Development Corporation;

… Financial Creditor

-Versus-

Tierra Food India Pvt Ltd.

… Corporate Debtor

Coram:

Shri. P. Mohan Raj :

Member (Judicial)

Shri. Satya Ranjan Prasad :

Member (Technical)

Parties/Counsel present (through video conference):

For Applicant

:

Mr. Sajeev Kumar K. Gopal,

Mrs. Aswathy Babu, Advocates.

For Respondent

:

Mr. Ahaan Mohan, Advocate.

Order reserved on: 01.12.2022

Order pronounced on: 23.12.2022

IN THE NATIONAL COMPANY LAW TRIBUNAL

KOCHI BENCH

IA(IBC)/315/KOB/2022

IN

IBA/39/KOB/2020

In re: Kerala State Industrial Development Corporation Vs. M/s Tierra Food India Pvt Ltd

Page 2 of 7

O R D E R

1. The present application is filed by the Regional Provident Fund Commissioner-

II, under Section 60 (5) of the Insolvency and Bankruptcy Code, 2016

(hereinafter referred to as the "Code") read with Rule 11 of NCLT Rules, 2016

seeking the following relief: -

➢ To direct the respondent to release the entire amount claimed towards EPF on priority

over all the debtors and release the balance amount of Rs.30,87,578/- forthwith.

2. The facts as narrated in the application and explained by the Applicant are

summarized hereunder:

i.

The Corporate Debtor is an establishment covered under the

Employees Provident Fund and Miscellaneous Provisions Act with

the Regional Office, Kochi with EPF Code No.KR/27863. The

Corporate Debtor is in default with the EPF from 8/2015 onwards.

The total amount of EPF statutory dues payable by the establishment

is Rs.76,98,001/. The amount includes EPF dues, penal damages

under Section 14B of the Act and interest under Section 7Q of the Act.

ii.

It is stated that M/s. TIERRA Food India Pvt. Ltd. has been admitted

to Corporate Insolvency Resolution process as per the orders of this

Tribunal in IBA/39/KOB/2020. Based on the paper publication

inviting claim from Operational Creditors, the Applicant had

submitted the claim petition to get the amount due to the EPFO,

claiming Rs. 76,98,001/-. This amount includes EPF dues, damages

under Section 14B interest under Section 7Q for the belated

remittance of statutory contribution for the period from 05/2015 to

01/2021, along with relevant documents to substantiate their claim.

iii.

It is also stated that the amount due to the EPFO is exempted under

the provisions of the IBC. The said amount should be disbursed in

IN THE NATIONAL COMPANY LAW TRIBUNAL

KOCHI BENCH

IA(IBC)/315/KOB/2022

IN

IBA/39/KOB/2020

In re: Kerala State Industrial Development Corporation Vs. M/s Tierra Food India Pvt Ltd

Page 3 of 7

priority of all debts. As per Section 36(4)(a)(ii) of the Insolvency and

Bankruptcy Code,2016 due towards provident fund pension are

excluded from the purview of liquidation estate. All sum due to any

workmen or employee fr