2023 (12) TMI 185

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....ocates for R-2 ORDER ( Hybrid Mode ) Heard Learned Counsel for the parties. 2. This Appeal has been filed against the Order dated 18th July, 2023 passed by the National Company Law Tribunal, Mumbai Bench, Court-V by which I.A. No. 2724 of 2022 filed by the Resolution Professional for approval of the Resolution Plan has been allowed and the Resolution Plan submitted by the Successful Resolution Applicant has been approved. 3. This Appeal has been filed by the Appellant who had also submitted a Resolution Plan which was not considered due to reason that he failed to submit the Bank Guarantee of Rs. 50 Lakhs as per RFRP. 4. Learned Counsel for the Appellant submits that the requirement of Rs. 50 Lakhs of Bank Guarantee was no....

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....entatives of V Axis Structural Steels Pvt. Ltd. to log out from the meeting. Chairman informed that as per the terms and conditions of the Request for Resolution Plan, the prospective resolution applicant was required to submit a Bank Guarantee of Rs. 50 Lakhs along with the resolution plan. However, Mr. Rakesh Ranjan has not submitted such Bank Guarantee. Since he has not complied with the terms stipulated in the Request for Resolution Plan, the resolution plan submitted by him cannot be considered. Mr. Rakesh Ranjan requested the CoC to waive the requirement of bank guarantee and consider the resolution plan submitted by him. He stated that he will submit the bank guarantee after approval of the Resolution plan by the NC....

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.... of the committee, having regard to the nature of resolution plan and business of the corporate debtor. Explanation II. - A performance security may be specified in absolute terms such as guarantee from a bank for Rs. X for Y years or in relation to one or more variables such as the term of the resolution plan, amount payable to creditors under the resolution plan, etc.]" 10. The copy of RFRP which has been handed over by the Appellant contains under the heading of "Other Conditions", following two conditions are as follows: "Bank Guarantee to be submitted along with the Resolution plan; Rs. 50 Lakhs Performance Bank Guarantee to be submitted by the successful resolution applicant (whose plan has been approved ....