Petition challenging maintainability of approved resolution plan ...

Petition dismissed: Resolution plan disclosure valid, corporate debtor's clean slate approved, creditor interests balanced.

Case Laws     Insolvency and Bankruptcy

September 5, 2024

Petition challenging maintainability of approved resolution plan dismissed. Resolution applicant made full disclosure, not barred u/s 29A. Once resolution plan approved, corporate debtor proceeds on clean slate with successful applicant, debts satisfied as required then jettisoned. Approved resolution plan shields corporate debtor's assets from criminal prosecution and attachment, Section 32A clarificatory. Committee of Creditors acts for all creditors, balancing maximization of asset value and revival. Its commercially viable decisions approved by NCLT cannot be condemned. No grounds to interfere, writ petition dismissed with costs.

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