https://www.taxtmi.com/caselaws?id=757449 The NCLAT dismissed an appeal challenging the Committee of Creditors' rejection of a settlement proposal under Section 12A of IBC. The appellant's settlement proposal required extinguishing liability of corporate debtor, promoter and guarantors, including release of personal guarantees. The CoC rejected this proposal through 100% e-voting, preferring a resolution plan that retained personal guarantees against total dues of Rs.238 crores. The NCLAT held the CoC's decision was well-deliberated and not arbitrary, noting the appellant received full opportunity. The tribunal distinguished settlement proposals from resolution plans, affirming the adjudicating authority's decision to reject the appellant's application. en-us Tue, 20 Aug 2024 00:00:00 +0530 Sat, 24 Aug 2024 13:39:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=757449 The NCLAT dismissed an appeal challenging the Committee of Creditors' rejection of a settlement proposal under Section 12A of IBC. The appellant's settlement proposal required extinguishing liability of corporate debtor, promoter and guarantors, including release of personal guarantees. The CoC rejected this proposal through 100% e-voting, preferring a resolution plan that retained personal guarantees against total dues of Rs.238 crores. The NCLAT held the CoC's decision was well-deliberated and not arbitrary, noting the appellant received full opportunity. The tribunal distinguished settlement proposals from resolution plans, affirming the adjudicating authority's decision to reject the appellant's application. Case-Laws Insolvency and Bankruptcy Tue, 20 Aug 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=757449