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Pro rata resolution-plan distribution by admitted claims prevails over individual security interests for dissenting secured financial creditors.

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Full Text of the Document

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....Distribution under a resolution plan among secured financial creditors may be determined through the Committee of Creditors' commercial wisdom, subject to the statutory minimum payable to dissenting financial creditors. A dissenting secured creditor cannot demand a larger share solely by relying on the value of its individual security interest. Pro rata allocation based on claims admitted by the resolution professional during CIRP, including stage-wise receipt of plan funds, is consistent with this principle. The approved distribution according to admitted claim ratios, rather than individual security interests, was sustained and the appeals were dismissed.....