Earlier this yr, the NCLT appointed a 3rd member to determine the case after Judicial Member Ashok Kumar Bhardwaj and Technical Member Reena Sinha Puri delivered conflicting opinions on a compensation plan.
Whereas Bhardwaj favoured approval of the compensation plan, Puri concluded that it suffered from severe authorized and procedural defects.
On August 25, Judicial Member Nilesh Sharma favoured approval of the plan. The plan allocates ₹6.25 crore to collectors in opposition to admitted claims of roughly ₹22,006.57 crore. An extra ₹25 lakh was earmarked in the direction of insolvency decision course of prices.
“The Reimbursement Plan submitted by the Private Guarantor, for my part, is required to be accepted beneath Part 114 of the Insolvency and Chapter Code, 2016,” Sharma stated.
He directed the Decision Skilled (RP) to exclude claims filed by creditor Anil Kumar on behalf of 960 people and creditor Sunil Jain on behalf of 300 people. The ₹6.25 crore will likely be redistributed among the many remaining eligible collectors after a revised listing is ready.
