We've upgraded AI Tools on TaxTMI with two powerful modes:
1. Basic • Quick overview summary answering your query with references• Category-wise results to explore all relevant documents on TaxTMI
2. Advanced • Includes everything in Basic • Detailed report covering: - Overview Summary - Governing Provisions [Acts, Notifications, Circulars] - Relevant Case Laws - Tariff / Classification / HSN - Expert views from TaxTMI - Practical Guidance with immediate steps and dispute strategy
• Also highlights how each document is relevant to your query, helping you quickly understand key insights without reading the full text.Help Us Improve - by giving the rating with each AI Result:
Resolution plan under Section 31 IBC cannot be set aside after implementation completion The SC dismissed an appeal challenging NCLAT's decision to uphold a resolution plan approved under Section 31 of the Insolvency and Bankruptcy Code, 2016. ...
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Resolution plan under Section 31 IBC cannot be set aside after implementation completion
The SC dismissed an appeal challenging NCLAT's decision to uphold a resolution plan approved under Section 31 of the Insolvency and Bankruptcy Code, 2016. The resolution plan was approved by the Committee of Creditors in 2019 and by the Adjudicating Authority in 2021 after two years, with implementation already completed. NCLAT refused to set aside the implemented plan citing peculiar case facts and SC precedents. The SC found no good grounds to interfere with NCLAT's judgment, considering the communication and Clause-XI of the resolution plan.
The Supreme Court, through Hon'ble Justices Bela M. Trivedi and Prasanna B. Varale, dismissed the appeal against the National Company Law Appellate Tribunal's (NCLAT) order dated 22.12.2022 in Company Appeal (AT) (Insolvency) No. 269 of 2022. The dispute concerned Clause-XI of the approved Resolution Plan dated 24.08.2019, which stipulated that any person claiming to be an allottee of the Corporate Debtor who failed to file their claim with the Resolution Professional before approval would not have their claim extinguished for six months post-approval but would be entitled, at the sole discretion of the Resolution Applicant, to only 50% of the principal amount upon determination of the claim's genuineness.The appellants submitted their claim on 29.11.2021, after the Resolution Plan's approval by the NCLT on 01.06.2021, thus falling within the six-month period but only entitling them to 50% of the principal amount as per Clause-XI. The respondent (Successful Resolution Applicant) had communicated by letter dated 05.02.2022 that the appellants would receive Rs. 22,65,048/- (50% of the principal) and that their allotment would stand extinguished.The Court found no grounds to interfere with the NCLAT's dismissal of the appeal, affirming that the appellants are entitled only to 50% of the principal amount per the Resolution Plan's terms. The respondent was directed to pay the stated amount within four weeks. Pending applications were closed.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
• Category-wise results to explore all relevant documents on TaxTMI
Help Us Improve - by giving the rating with each AI Result:
TaxTMI 
TaxTMI 
