Though there are reasonable differences between both the guidelines in terms of procedure and application but the guidelines have ensured of the principle of Audi alteram partem is given significant importance. But whether the principle of Audi alteram partem is truly served where the ultimate decision is in the hands of the lender is an issue where the Judiciary and the Legislature must delve in to truly serve the justice to the parties involved in such dispute.
There has been several cases before the Hon’ble NCLT, Hon’ble NCLAT and subsequently various appeal before the Hon’ble Supreme Court of India to deal with the issue regarding the delay in filing of claims by the creditors in case of Insolvency Petition filed against the Corporate Debtor once the Resolution Plan is approved by the CoC. And for this, it is pertinent to understand the importance of IBC before delving into the detail about the issue concerned.
Analysis of review and recall powers of NCLAT.