# In the matter of JM Financial Asset Reconstruction Company Ltd. vs. Venkatachalam & Ors.

> NCLAT judgment dated 2025-06-19. Citation: TCN-2025-NCLAT-00353. The appeal challenges the Adjudicating Authority's order rejecting the Resolution…

- **Court:** NCLAT
- **Order date:** 19 Jun 2025
- **Citation:** TCN-2025-NCLAT-00353
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-chennai/jm-financial-asset-reconstruction-company-ltd-vs-venkatachalam-ors-fa73d37d

## Summary

### Background

The appeal challenges the Adjudicating Authority's order rejecting the Resolution Professional's application to issue a fresh Form G to invite new Expression of Interest (EoI) while retaining existing Resolution Applicants.

## Facts

The CIRP process for the Corporate Debtor commenced on 01.01.2021.

The first Form G was issued on 24.08.2021, and 9 Prospective Resolution Applicants submitted their Expression of Interest.

The CoC extended the last date for submission of Resolution Plans to 04.06.2024, and 5 Resolution Applicants submitted plans.

The Plan submitted by M/s. Medha Servo Drives Private Limited was approved by CoC with 100% voting in favor.

The CoC resolved to withdraw the Plan approval application and undertake a challenge mechanism process.

The Resolution Professional filed IA No. 388/2025, seeking limited reopening of the Bidding process, which was rejected by the Adjudicating Authority.

…

## Issues and analysis

### Issue 1: Whether the CoC has the power to call for fresh Form G and permit other PRAs to participate even …

**Ratio:** Regulation 36A empowers the CoC to modify the

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**Reasoning:** The tribunal referred to the judgment in Ashdan Properties Private Limited V. Mamta

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**Interpretation:** The CoC has the authority to take decisions regarding the issuance of fresh

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**Application:** The CoC's decision to issue a fresh Form G is within its powers and should be

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## Parties

- **Judges:** Sharad Kumar…; Jatindranat…
- **Appellants:** JM Financial…
- **Respondents:** Raigarh Champa…; Venkatac…
- **Other parties:** Balady S.…
- **Advocates:** P.H. Arvindh…; Avinash Krishnan…; +4 more

## Timeline

- **01.01.2021 — Commencement…**: The CIRP process of the Corporate Debtor…
- **24.08.2021 — First Form G…**: The First Form G was issued on 24.08.2021, and as many as 9 Prospective Resolution…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 7 — Initiation of corporate insolvency resolution…](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-7)

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