The Appellate Tribunal upheld the replacement of the Resolution ...

Tribunal Upholds Replacement of Resolution Professional Due to Conflict of Interest in Insolvency Case.

November 12, 2024

Case Laws IBC AT

The Appellate Tribunal upheld the replacement of the Resolution Professional (RP) appointed u/s 97 of the Insolvency and Bankruptcy Code (IBC). The RP had previously represented the Corporate Debtor and Personal Guarantor as counsel in a dispute arising from the same debt, which was a rational ground for the Financial Creditor to form an opinion u/s 98 for replacement. The scheme of Section 98 does not require proving a particular ground for replacement. Although Section 94 allows a debtor to initiate insolvency resolution personally or through an RP, the stage u/s 98 for replacement is subsequent to the RP's appointment u/s 97. The Adjudicating Authority did not err in allowing the Financial Creditor's application for replacement, and the appeal was dismissed.

View Source

← Previous Next →

The Appellate Tribunal upheld the replacement of the Resolution ...

Tribunal Upholds Replacement of Resolution Professional Due to Conflict of Interest in Insolvency Case.

November 12, 2024

Case Laws IBC AT

You may also like:

The National Company Law Appellate Tribunal (NCLAT) held that the Resolution Plan must provide for payment of Provident Fund and Gratuity dues in accordance with Section...

CIRP - Calculation of the interest - admission of the claim by the Resolution Professional - The Adjudicating Authority directed to examine the exorbitantly high...

Seeking replacement of IRP - When the ingredients of Section 22 (3) (b) of the Code explicitly spells out for the Appointment of the proposed Resolution Professional,...

Disallowance of commission paid to foreign agents - The Tribunal upheld the disallowance of commission expenses to both domestic and non-resident companies due to the...

Replacement of the Appellant with another Resolution Professional - When the Resolution has been passed by the CoC in accordance with the provisions of the IBC deciding...

The NCLAT upheld the challenge process and negotiation process conducted by the Resolution Professional (RP) as per CIRP Regulations and Process Note. It held SRA...

Violation of res judicata principles u/s 11 of the Code of Civil Procedure, 1908, suppression of relevant facts from the Committee of Creditors (CoC), discrepancy in...

Resolution professional doesn’t require nod of shareholders/members for insolvency resolution

Improper handling of Resolution Plan - Respondent No.1 alleges that the Resolution Professional (RP) violated the process by opening a sealed cover containing the plan...

The Appellant sought payment of its pre-CIRP dues from the Respondent in a manner different from the approved resolution plan, which provided for payment of pre-CIRP...

Filing of forms in the Registry (MCA-21) by the Insolvency Professional (Interim Resolution Professional (IRP) or Resolution Professional (RP) or Liquidator) appointed...

Filing of forms in the Registry (MCA-21) by the Insolvency Professional (Interim Resolution Professional (IRP) or Resolution Professional (RP) or Liquidator) appointed...

CIRP - The NCLAT upheld the decision to reject inflated claims by the financial creditor, Stressed Assets Stabilization Fund (SASF), and supported the termination of the...

The NCLAT held that there was a breach of fiduciary duties and conflict of interest by the Interim Resolution Professional (IRP) in the appointment of consultants during...

Maintainability of application after approval of resolution plan - Application’ on behalf of the ‘Company - Suffice it for this Tribunal to make a pertinent mention that...

Quick Updates: