Liability for prior offences etc. [ section 32A]

Immunity for corporate debtor: approved resolution plans can extinguish pre CIRP criminal liability while preserving individual prosecutions.

Section 32A provides that, where a resolution plan approved under section 31 results in a change in management or control to a person who is neither a promoter nor a related party and is not reasonably suspected of abetment or conspiracy, the corporate debtor's liability for offences committed prior to CIRP ceases from the date of approval and prosecutions instituted during CIRP stand discharged, while designated partners and officers in default remain prosecutable; it also bars actions against corporate property covered by the approved plan, subject to required cooperation with investigating authorities.