https://www.taxtmi.com/caselaws?id=760231 The NCLAT dismissed an appeal by a related party unsecured financial creditor challenging its treatment in a resolution plan. The appellant sought parity with other financial creditors and disputed being treated as an equity shareholder. The NCLAT held that both the Committee of Creditors and Adjudicating Authority correctly treated the appellant as an unsecured financial creditor, not an equity shareholder. The appellant was properly classified as a related party and excluded from CoC meetings, receiving nil distribution under the resolution plan. The NCLAT found no discrimination, noting only secured financial creditors received payments, while related party unsecured creditors were legitimately treated differently under IBC provisions. en-us Mon, 13 May 2024 00:00:00 +0530 Thu, 17 Oct 2024 13:13:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=760231 The NCLAT dismissed an appeal by a related party unsecured financial creditor challenging its treatment in a resolution plan. The appellant sought parity with other financial creditors and disputed being treated as an equity shareholder. The NCLAT held that both the Committee of Creditors and Adjudicating Authority correctly treated the appellant as an unsecured financial creditor, not an equity shareholder. The appellant was properly classified as a related party and excluded from CoC meetings, receiving nil distribution under the resolution plan. The NCLAT found no discrimination, noting only secured financial creditors received payments, while related party unsecured creditors were legitimately treated differently under IBC provisions. Case-Laws IBC Mon, 13 May 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=760231