Section 12A reads as follows:
"The Adjudicating Authority may allow the withdrawal of application admitted under section 7 or section 9 or section 10, on an application made by the applicant with the approval of ninety percent. voting share of the committee of creditors, in such manner, as may be specified."
Section 12A was to be read with Regulation 30A of the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 which provided that an application for withdrawal under section 12A shall be submitted to the interim resolution professional or the resolution professional before issue of invitation for expression of interest under regulation 36A.
Hence, on a plain reading of the above provisions, it was evident that an application filed under Section 7,9, and 10 of IBC could only be withdrawn before the issue of invitation for expression of interest.
2. It is advisable to keep the advocate by his side in order to explain the legal implication if any.
3.What are the conditions for mutual settlement between the parties, you may go by the agreed conditions.
It is advised that the debtor be present before the court to confirm the process is going on in the manner as decided.
4. You can settle the scores before the date of next hearing and then the creditor can file applicaiton accordingly