NCLAT upholds Resolution Professional's claim admission decision, directs conveyance deed execution for allocated units

The NCLAT Principal Bench upheld the Adjudicating Authority's decision rejecting the appellant's challenge to claim admission by the Resolution Professional. The approved Resolution Plan provided 40% of admitted claims plus allocated units to the appellant. Despite the appellant's refusal to take possession of Units 1GF and 5GF with basements offered on 30.09.2020 citing incomplete construction, the NCLAT found no grounds to interfere with the RP's reasoned decision. The Successful Resolution Applicant was directed to execute conveyance deeds and handover possession of the allotted units to the appellant. Appeal disposed.

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Issues:
The judgment involves appeals against the rejection of IA No.4229 of 2023 and IA No.4089 of 2023 by the Adjudicating Authority.

Company Appeal (AT) (Insolvency) Nos. 186 of 2024:
- The Corporate Debtor allotted units to the Appellant, who did not take possession.
- Corporate Insolvency Resolution Process initiated, and the Appellant filed a claim as a Financial Creditor.
- RP admitted the claim for an assured return, leading to a dispute over the full claim amount.
- Appellant sought direction to accept full claim, leading to IA No.4229 of 2023 being dismissed.

Company Appeal (AT) (Insolvency) Nos. 187 of 2024:
- Similar facts as in Appeal No. 186, with a dispute over the admitted claim amount.
- Appellant filed IA No.4089 of 2023, seeking acceptance of the full claim, which was dismissed.

The Appellant argued that RP erred in not admitting the full claim, citing incomplete work and delayed possession offer. RP defended the admitted claim based on assured return and possession offer date. SRA supported RP's stance, emphasizing possession offer and completion certificate issuance.

The RP admitted the Appellant's claims based on assured return until possession offer date. The Adjudicating Authority approved the Resolution Plan, providing 40% of the admitted claim and the units to the Appellant. Despite possession not taken, the Appellant is entitled to the units and approved claim amount as per the Resolution Plan.

The judgment upheld the Adjudicating Authority's orders, directing the SRA to execute the Conveyance Deed for the units and hand over possession to the Appellant. Each party bears its own costs.

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