# Arcelormittal India Private Limited Vs Satish Kumar Gupta & Ors. Civil Appeal Nos. 9402-9405 -2018

> SC judgment dated 2018-10-04. Citation: TCN-2018-SC-00012. The case revolves around the eligibility of resolution applicants to submit resolution plans under…

- **Court:** SC
- **Order date:** 4 Oct 2018
- **Citation:** TCN-2018-SC-00012
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/supreme-court-of-india/arcelormittal-india-private-limited-vs-satish-kumar-gupta-ors-civil-appeal-nos-9-ab810336

## Summary

### Background

The case revolves around the eligibility of resolution applicants to submit resolution plans under the Insolvency and Bankruptcy Code (IBC), specifically concerning Section 29A, which was introduced to prevent unscrupulous individuals from regaining control of companies they had run into the ground. The corporate insolvency resolution process (CIRP) was initiated against Essar Steel India Limited (ESIL) after it defaulted on financial debts owed to State Bank of India and Standard Chartered Bank. Several entities, including ArcelorMittal India Private Limited (AMIPL) and Numetal Limited, submitted resolution plans. However, the Resolution Professional (RP) found both AMIPL and Numetal ineligible under Section 29A of the IBC.

## Facts

1. On 2.8.2017, the NCLT, Ahmedabad Bench, initiated CIRP against Essar Steel India Limited (ESIL) under Section 7 of the IBC based on an application by financial creditors, including State Bank of India and Standard Chartered Bank. 2. Satish Kumar Gupta was appointed as the Interim Resolution Professional (IRP) and later confirmed. 3. The IRP invited resolution plans for ESIL's revival, setting a deadline of 23.10.2017 for expressions of interest. 4. ArcelorMittal India Private Limited (AMIPL) and Numetal Limited submitted expressions of interest on 11.10.2017 and 20.10.2017, respectively. 5. The deadline for submitting resolution plans was extended to 12.2.2018. 6. The RP found both AMIPL and Numetal ineligible under Section 29A of the IBC. 7. AMIPL's ineligibility

…

## Issues and analysis

### Issue 1: Whether Section 29A(c) of the IBC applies to resolution applicants associated with non-performing …

**Ratio:** Section 29A(c) disqualifies individuals or entities associated with NPAs from submitting

…

**Reasoning:** The court reasoned that the purpose of Section 29A is to prevent unscrupulous individuals

…

**Interpretation:** The court interpreted Section 29A(c) broadly to encompass individuals or

…

**Application:** The court applied Section 29A(c) to AMIPL and Numetal, finding that both were

…

## Parties

- **Judges:** ROHINTON FALI…; Indu Mal…
- **Appellants:** ARCELORMITTAL…
- **Respondents:** Essar Steel India…; Satish Kumar…
- **Other parties:** 7th Edition…; Arcelor Mittal…; +5 more

## Timeline

- **2017-08-02 — CIRP Init…**: CIRP initiated against Essar Steel India…
- **2017-10-11 — AMIPL EO…**: ArcelorMittal India Private Limited (AMIPL)…

## 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)

---

This is a preview. The full structured summary, issues, precedents and source judgment are available on CaseEase - Legal Intelligence Simplified: https://caseease.in/cases/ibc/supreme-court-of-india/arcelormittal-india-private-limited-vs-satish-kumar-gupta-ors-civil-appeal-nos-9-ab810336