# Arun Kumar Jagatramka Vs. Jindal Steel and Power Ltd. & Anr. Civil Appeal No. 9664 of 2019 > SC judgment dated 2021-03-15. Citation: TCN-2021-SC-00063. The case involves appeals against orders of the National Company Law Appellate Tribunal (NCLAT) and… - **Court:** SC - **Order date:** 15 Mar 2021 - **Citation:** TCN-2021-SC-00063 - **Category:** IBC - **Source page:** https://caseease.in/cases/ibc/supreme-court-of-india/arun-kumar-jagatramka-vs-jindal-steel-and-power-ltd-anr-civil-appeal-no-9664-of-dbed1b2b ## Summary ### Background The case involves appeals against orders of the National Company Law Appellate Tribunal (NCLAT) and a writ petition challenging the constitutional validity of Regulation 2B of the Insolvency and Bankruptcy Board of India (Liquidation Process) Regulations, 2016. The central issue revolves around whether a person ineligible under Section 29A of the Insolvency and Bankruptcy Code (IBC) can propose a scheme of compromise and arrangement under Section 230 of the Companies Act, 2013, during the liquidation of a corporate debtor under the IBC. The NCLAT had held that such ineligible persons are barred from proposing such schemes. The appellant argues that Section 230 of the Companies Act, 2013 does not place any embargo on any person for the purpose of submitting a scheme. ## Facts Gujarat NRE Coke Limited (GNCL), the corporate debtor, faced Corporate Insolvency Resolution Process (CIRP) after an application under Section 10 of the IBC was admitted on April 7, 2017. Arun Kumar Jagatramka, a promoter of GNCL, submitted a resolution plan on November 1, 2017, which was to be voted on in a meeting scheduled for November 23-24, 2017. However, the IBC was amended, inserting Section 29A, which provided a list of ineligible resolution applicants, effective from November 23, 2017. Due to the insertion of Section 29A, Mr. Jagatramka became ineligible to submit a resolution plan. No further resolution plan was approved, leading to an NCLT order for liquidation on January 11, 2018. Mr. Jagatramka challenged this order before the NCLAT, which dismissed the … ## Issues and analysis ### Issue 1: Whether in a liquidation proceeding under Insolvency and Bankruptcy Code, 2016 the Scheme for … **Ratio:** Section 230 of the Companies Act, 2013, allows for a compromise or arrangement to be … **Reasoning:** The NCLAT had answered this issue in the affirmative, and there was no challenge to this … **Interpretation:** Section 230 of the Companies Act, 2013, is a mechanism that can be used during … **Application:** The court acknowledges that Section 230 can be invoked in the case of a company … ## Parties - **Judges:** Dr Dhananjaya Y…; M.R.… - **Appellants:** Arun Kumar… - **Respondents:** Gujarat NRE Coke…; Jindal Steel and… - **Other parties:** 7th Edition…; IBC…; +9 more ## Timeline - **2017-04-07 — Admission of CIRP…**: Application under Section 10 of the IBC was… - **2017-11-01 — Submission of…**: Arun Kumar Jagatramka submitted… ## Legal provisions - [Insolvency and Bankruptcy Code, 2016, Section 35(1) — Powers and duties of liquidator](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-35) --- 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/arun-kumar-jagatramka-vs-jindal-steel-and-power-ltd-anr-civil-appeal-no-9664-of-dbed1b2b