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TMI Blog2022 (3) TMI 636X X X X Extracts X X X X X X X X Extracts X X X X ..... tee the Resolution Professional (RP) shall submit to the Adjudicating Authority. It was finally held that the CoC has power to decide and approve the Resolution Plan of the Resolution Applicant's and CoC also can consider the eligibility/ineligibility of the Resolution Applicants under Section 29(A)(e) of the Code. Hence, since the law is made very clear with regard to placing of the Resolution Plan before the CoC before disqualifying any of the Applicants under any of the Provisions of law and under Section 29A of IBC which is the case with the Applicant present before this Tribunal, by answering this point infavour of the Applicant, this Tribunal is inclined to allow the Application partly. Whether the rejection of the Resolution ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (India) Private Limited, an Operational Creditor filed an application before this Tribunal to initiate Corporate Insolvency Resolution Process (CIRP) against the Corporate Debtor under Section 9 of IBC and the same was admitted. The Insolvency commencement date was 15.11.2019. ii. In pursuance of the public announcement made by the Resolution Professional (RP) the Applicant submitted the Expression of Interest (EoI) with a declaration under Section 29A of the IBC, 2016. The Resolution Professional (RP) published provisional list of eligible prospective resolution applicants. Objections are called for, but no objections are received. The name of the Applicant was included in the final list of Prospective Resolution Applicants. But surpr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lic domain of IBBI. Inspite of the Corporate Debtor being MSME, the Applicant stands to be ineligible due to the said reason. Suppressing the said disqualification, the Applicant has filed 29A declaration along with the Resolution Plan. Hence, the Application has to be dismissed due to lack of merit. 4. Heard both the Counsel. Written submissions are filed by both the counsels and the same are perused. From the written submissions and the oral arguments the points that would arise for consideration by this Tribunal are: i. Whether the Resolution Plan of the Applicant has to be placed before the CoC and whether it has been placed. ii. Whether the rejection of the Resolution Plan by the Resolution Professional (RP) is valid. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ds that since the Resolution Applicant is a Director in a Company which is an undischarged insolvent, he faces disqualification and that fact contravene the law. I am not inclined to go to the merits of the said contention. The limited aspect that has to be decided is whether the Resolution Professional (RP) should place the Resolution Plans before the CoC without he himself disqualifying any of the Resolution Applicants unilaterally. The Counsel for the Respondent contends that the Resolution Plans were placed before the CoC in fact and that the minutes of the 10th CoC meeting would reflect the same. A perusal of the minutes of the 10th CoC meeting would show the presence of the Applicant undoubtedly. But as contended by the Respondent, it ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that it is ineligible under Section 29A was addressed. It was held that it is clear that the IBC and the Regulations empower the Committee of Creditors approving the Resolution Plan and also empowers that it shall not approve the Resolution Plan where the Resolution Applicant is ineligible under Section 29A. In the said case the Adjudicating Authority directed the CoC to consider whether the 3rd Respondent is really ineligible under Section 29A(e) of IBC and directed the CoC which has the power to approve the Resolution Plan and also consider the Resolution Applicant's ineligibility under Section 29A. It was held that in accordance with the provisions of law and regulations made thereunder the CoC has a power to consider the eligibilit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... answering this point infavour of the Applicant, this Tribunal is inclined to allow the Application partly. Point No. ii: 9. This Tribunal is not inclined to make any observation with regard to this point as the same would have the effect of influencing the decision that has to be taken by the CoC after the Resolution Plan of this Applicant is placed before it. Point No. iii; 10. In the Result, the Application is partly allowed and the Resolution Professional (RP) is directed to place the Resolution Plan of the Applicant before the Committee of Creditors (CoC), however, with his remarks if he so chooses. The Committee of Creditors (CoC) shall consider the Plan and decide about the eligibility/ineligibility of the Plan, by conside ..... X X X X Extracts X X X X X X X X Extracts X X X X
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