2023 (3) TMI 19 - AT - Insolvency and Bankruptcy

Seeking direction to Respondent to provide copy of the Resolution Plan submitted before the Tribunal for approval to enable the Appellant to make submission/objection - HELD THAT - The judgment of this Tribunal in Jet Airways 2022 (2) TMI 17 - NATIONAL COMPANY LAW APPELLATE TRIBUNAL , PRINCIPAL BENCH , NEW DELHI which has been relied by the Appellant was a case where Resolution Plan was approved by the Adjudicating Authority and Appeal was filed challenging and an I.A. No. 1700 of 2021 was filed seeing direction to provide copy of the Resolution Plan, where this Tribunal has directed that part of the Resolution Plan which deals with the claim of workmen and employees shall be provided to the Appellant by Successful Resolution Applicant. The Appellants are entitled for inspection of the records of the Adjudicating Authority as per the NCLT Rules, 2016 - there are no reason to interfere with the order impugned - appeal disposed off.

Summary

Issues:
Delay in filing the Appeals - Condonation of delay requested by Appellants.
Adjudicating Authority's order regarding Resolution Plan and Operational Creditor's entitlement to it.

Analysis:
The judgment by the National Company Law Appellate Tribunal, Principal Bench, New Delhi, dealt with multiple Company Appeals (AT) (Insolvency) and Interlocutory Applications filed by various appellants against an order passed by the Adjudicating Authority. The appellants sought condonation of a 15-day delay in filing the Appeals, citing operational creditor status and holidays causing the delay, which was accepted, and the delay was condoned.

The main issue revolved around the Adjudicating Authority's order related to a Resolution Plan in a specific Company Appeal (AT) (Ins.) No. 143 of 2023. The Appellant, an Operational Creditor, had filed an Interlocutory Application requesting a copy of the Resolution Plan to make submissions/objections. The Adjudicating Authority did not grant the request but directed the Resolution Plan back for approval by the Committee of Creditors (CoC) within 30 days. The Appellant contended their entitlement to the Resolution Plan, citing a previous judgment where disclosure of specific parts of the Resolution Plan was ordered by the Tribunal.

The Tribunal referenced the previous judgment regarding the disclosure of Resolution Plan contents, emphasizing that after approval by the Adjudicating Authority, the Resolution Plan ceases to be confidential. It highlighted the importance of access to the Resolution Plan for appellants to challenge it effectively. The Tribunal acknowledged the Appellant's right to inspect the records of the Adjudicating Authority as per NCLT Rules, 2016, and upheld the Adjudicating Authority's order. However, it granted liberty to the Appellants to file an application for inspection of records if needed, thereby disposing of all the Appeals accordingly.