NCLAT Directs Modification Of Resolution Plan On Ground Of Discrimination Between Similarly Situated Financial Creditors

Arunima Bhattacharjee

19 Sept 2019 12:53 PM IST

Although the Appellate Tribunal found the resolution plan to be in contravention of provisions of the IBC, it did not set aside the plan. An opportunity was given to the resolution applicant to remove the discrimination by providing similar treatment, as was provided to other similarly situated financial creditors.

The NCLAT has allowed an appeal filed by financial creditor Hero Fincorp Ltd., on the ground of discriminatory treatment with similarly situated 'Financial Creditors'. The NCLAT Bench, headed by S J Mukhopadhay, took this view while hearing an appeal Hero Fincorp against the NCLT's approval of the resolution plan for the corporate debtor 'Rave Scans Pvt. Ltd.'. The...

NCLAT Directs Modification Of Resolution Plan On Ground Of Discrimination Between Similarly Situated Financial Creditors

Arunima Bhattacharjee

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