Resolution Applicant's Eligibility under the IBC: A Balancing Act Between Stringent Rules and MSME Protection

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....t issues regarding the applicability and interpretation of specific provisions under the Insolvency and Bankruptcy Code 2016 (IBC). The appellant, a Resolution Professional, presented a resolution plan to the National Company Law Tribunal (NCLT), which was dismissed on grounds that the promoters could not have presented the plan​​. Core Legal Issues * Eligibility of the Resolution....

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....the requirement that at least one year should elapse from such classification until the commencement of the CIRP​​. * Amendment by Act 8 of 2018: This amendment, effective from November 23, 2017, aimed to prevent persons responsible for a company's financial woes from submitting a resolution plan to take over the company​​. * Interpretation of Section 29A (c): T....

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.... plan, rather than the initiation of the CIRP proceedings​​. Final Judgment and Consequences The Supreme Court set aside the impugned orders of the NCLT and the National Company Law Appellate Tribunal (NCLAT) and allowed the appeal, leading to the restoration of the case to the NCLT for reconsideration. Consequently, any actions taken by the Insolvency and Bankruptcy Board of India (....