Whether after approval of Resolution Plan by the AA a creditor including the Government is entitled to initiate any proceedings for recovery of any of the dues from the Corporate Debtor, which are not a part of the Resolution Plan approved by the AA – Ghanashyam Mishra and Sons Pvt. Ltd. Through The Authorized Signatory Vs. Edelweiss Asset Reconstruction Company Ltd. Through The Director & Ors. – Supreme Court
Questions have been answered in this judgment: (i) Whether any creditor including the Central Government, State Government or any local authority is bound by the Resolution Plan once it is approved by an adjudicating authority under sub-section (1) of Section 31 of the Code? (ii)Whether the amendment to Section 31 by Section 7 of Insolvency & Bankruptcy Code (Amendment) Act, 2019 is clarificatory/declaratory or substantive in nature? (iii) Whether after approval of resolution plan by the Adjudicating Authority a creditor including the Central Government, State Government or any local authority is entitled to initiate any proceedings for recovery of any of the dues from the Corporate Debtor, which are not a part of the Resolution Plan approved by the adjudicating authority? (iv) Whether the speech made by the Hon’ble Finance Minister, explaining the reason for the introduction of the Bill could be referred for the purpose of ascertaining the mischief sought to be remedied by the legislation etc.
