Appeals by Operational Creditors Dismissed; Resolution Plan Finalized Without Supreme Court Challenge, Except for Employee Due Payments.

The Tribunal dismissed the appeals filed by Operational Creditors challenging the Approval of the Resolution Plan, noting the plan's implementation and finality due to no Supreme Court challenge. Despite claims of injustice regarding dues and non-joinder of necessary parties, the Tribunal found no material irregularity in the plan's approval, except for required payments to Provident and Gratuity Funds and employee dues. The appeals were dismissed without costs, and related interim applications were closed.

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Issues involved:
The issues involved in the judgment include challenges to the Approval of the Resolution Plan by Operational Creditors, non-joinder of necessary parties, payment of dues to employees, and the finality of the Order in the absence of an appeal to the Supreme Court.

Operational Creditors' Challenge to Resolution Plan:
The appeals were filed by Operational Creditors challenging the Approval of the Resolution Plan dated 29.01.2021. The Appellants argued that only 16% of the Dues of the Contractors/Operational Creditors were allowed in the Plan, leading to gross injustice. They contended that lack of proper representation in the Committee of Creditors meetings prevented them from challenging the meager amounts allocated to them, violating Section 30(2) of the Insolvency and Bankruptcy Code, 2016.

Non-Joinder of Necessary Parties:
The Respondent/Financial Creditor argued that the Appeal was defective due to the non-joinder of necessary parties, namely, the Successful Resolution Professional (SRA) and the Resolution Professional (RP), and sought dismissal of the Appeal on this ground.

Payment of Plan Amount and Implementation:
The 2nd Respondent stated that the Resolution Applicant had paid the entire Plan amount of Rs.145.6016 Crore before 20.03.2021, and the Plan had been implemented accordingly.

Judicial Findings and Previous Decisions:
The Tribunal, in a related case, allowed the appeals in part, directing the Successful Resolution Applicant to make payments towards unpaid Provident Fund, Gratuity Fund, and pending dues to the Employees. The Tribunal did not find material irregularity in the Approval of the Resolution Plan, except for the specified payments. In another set of appeals, the Tribunal dismissed the challenges to the Resolution Plan based on previous observations.

Finality of the Order and Dismissal of Appeals:
The Tribunal noted that the Order had attained finality due to the absence of any challenge before the Supreme Court. As the Resolution Plan had already been implemented, with the Tribunal confirming its Approval except for specific payments, the Appeals were dismissed. The Appeals were dismissed, and no costs were awarded. The connected pending IA Nos. 144, 155, and 156 of 2022 were closed as well.

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