India Resurgence ARC Private Limited appealed against the order dated 02.03.2021 passed by the National Company Law Appellate Tribunal (NCLAT), New Delhi, in CA(AT) (Insolvency) No. 1061 of 2020. The NCLAT had rejected the appellant's challenge to the order dated 20.10.2020 passed by the National Company Law Tribunal (NCLT), Kolkata Bench, approving the resolution plan in the corporate insolvency resolution process (CIRP) concerning the corporate debtor VSP Udyog Private Limited. The appellant, a dissenting financial creditor, argued that the approved resolution plan failed to consider the priority and value of its security interest.
India Resurgence ARC Private Limited, the appellant, challenged an order approving a resolution plan for VSP Udyog Private Limited. The appellant, a dissenting financial creditor with a 3.94% voting share in the Committee of Creditors (CoC), argued that the resolution plan failed to adequately consider its security interest. The appellant's admitted claim was over INR 13.38 crores, but the resolution applicant offered only INR 2.026 crores. The appellant contended that the CoC did not have an unfettered right to exercise its commercial wisdom and approve a plan that did not conform to the provisions of the Code. The NCLT approved the resolution plan, and the NCLAT upheld the decision. The appellant then appealed to the Supreme Court, asserting that the resolution plan
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National Company Law…
National Company Law Appellate Tribunal, New…
India Resurgence ARC Private Limited appealed against the order dated 02.03.2021 passed by the National Company Law Appellate Tribunal (NCLAT), New Delhi, in CA(AT) (Insolvency) No. 1061 of 2020. The NCLAT had rejected the appellant's challenge to the order dated 20.10.2020 passed by the National Company Law Tribunal (NCLT), Kolkata Bench, approving the resolution plan in the corporate insolvency resolution process (CIRP) concerning the corporate debtor VSP Udyog Private Limited. The appellant, a dissenting financial creditor, argued that the approved resolution plan failed to consider the priority and value of its security interest.
India Resurgence ARC Private Limited, the appellant, challenged an order approving a resolution plan for VSP Udyog Private Limited. The appellant, a dissenting financial creditor with a 3.94% voting share in the Committee of Creditors (CoC), argued that the resolution plan failed to adequately consider its security interest. The appellant's admitted claim was over INR 13.38 crores, but the resolution applicant offered only INR 2.026 crores. The appellant contended that the CoC did not have an unfettered right to exercise its commercial wisdom and approve a plan that did not conform to the provisions of the Code. The NCLT approved the resolution plan, and the NCLAT upheld the decision. The appellant then appealed to the Supreme Court, asserting that the resolution plan
…National Company Law…
National Company Law Appellate Tribunal, New…