https://www.taxtmi.com/caselaws?id=751388 The SC held that resolution plans under Section 31(1) of IBC cannot be withdrawn or modified based on claims of inadequate data or information asymmetry. The Court emphasized that resolution applicants are financial experts who conduct in-depth analysis and submit plans after careful evaluation, accounting for data inadequacies and risks. The assumption that such specialists were misled by incomplete information was rejected. The Court noted that corporate debtors in financial distress naturally have imperfect data, but resolution professionals provide information on best effort basis. Parties must exercise due caution and discretion when submitting plans. The NCLAT order was set aside and appeal allowed. en-us Wed, 06 Mar 2024 00:00:00 +0530 Tue, 16 Apr 2024 07:10:40 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=751388 The SC held that resolution plans under Section 31(1) of IBC cannot be withdrawn or modified based on claims of inadequate data or information asymmetry. The Court emphasized that resolution applicants are financial experts who conduct in-depth analysis and submit plans after careful evaluation, accounting for data inadequacies and risks. The assumption that such specialists were misled by incomplete information was rejected. The Court noted that corporate debtors in financial distress naturally have imperfect data, but resolution professionals provide information on best effort basis. Parties must exercise due caution and discretion when submitting plans. The NCLAT order was set aside and appeal allowed. Case-Laws Insolvency and Bankruptcy Wed, 06 Mar 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=751388