Case Note & Summary
The National Company Law Appellate Tribunal (NCLAT) heard an appeal filed by Deepvir Enterprises & Anr. against an order of the Adjudicating Authority (likely NCLT) that rejected a Resolution Plan submitted by the appellants. The plan had been approved by 100% of the voting share of the Committee of Creditors (CoC). The appellant, represented by Senior Advocate Mr. Abhijeet Sinha, argued that the rejection was erroneous. The Resolution Professional (Respondent No.1) and the CoC (Respondent Nos.2 and 3) also indicated their intention to file an appeal against the same impugned order. They submitted that no reply was necessary and sought permission to file short notes of submission. The NCLAT issued notice to Respondent No.4 and listed the appeal for hearing on 22.07.2025. In the meantime, the Tribunal directed that the Liquidator shall not take any further steps in pursuance of an earlier order dated 23.06.2025, effectively staying the liquidation process pending the appeal.
Headnote
A) Insolvency Law - Resolution Plan - Rejection by Adjudicating Authority - Appeal - The Adjudicating Authority rejected a Resolution Plan approved by 100% voting share of the CoC. The appellant, along with the Resolution Professional and CoC, challenged the order. NCLAT issued notice and directed the Liquidator not to take further steps pending appeal. (Paras 1-2)
Issue of Consideration
Whether the Adjudicating Authority erred in rejecting a Resolution Plan approved by 100% voting share of the Committee of Creditors (CoC).
Final Decision
NCLAT issued notice to Respondent No.4, listed the appeal for 22.07.2025, and directed that the Liquidator shall not take any further steps in pursuance of the order dated 23.06.2025.
Law Points
- Resolution Plan
- CoC approval
- Adjudicating Authority rejection
- appeal
- interim stay on liquidation
