At the time of distribution of money as per approved Resolution Plan, no further proof of succession is needed by the Resolution Professional from the legal heirs, whose names had been substituted by the Adjudicating Authority in place of the Financial Creditor – S. Rajendran RP of PRC International Hotels Private Limited Vs. S. Mukanchand Bothra (Deceased) – NCLAT
NCLAT held that as per approved Resolution Plan Rs.4,12,95,002/-comes to the shares of Late Mukhanchand Bothra. Therefore, all the appellants are entitled to one-third share, from the amount which was allotted in favour of Late Mukhanchand Bothra. This resolution plan has become final, and the adjudicating Authority has substituted the names of the appellants as legal heirs of late Mukhanchand Bothra. Therefore, any demand for succession certificate, Probate order at this stage is without any basis. Since the approved resolution plan is binding on all the stakeholders. Therefore the resolution professional has no right to again raise the issue of succession from the appellants at the time of distribution of amount.
