The IBBI having no locus standi cannot challenge the finding of Adjudicating Authority- IBBI Vs. Wig Associates Pvt. Ltd. & Ors.- NCLAT
It is the duty of the Resolution Professional under Section 30(2) to find out which of the resolution plans are in conformity of the provisions prescribed thereunder. If the resolution plan submitted by applicant is contrary to Section 29A, in view of Section 30(2)(e) read with Section 30(3), the Resolution Professional should not have placed such resolution plan before the Committee of Creditors.
The legal interpretation may be in the domain of the Adjudicating Authority, but if the interpretation is against the provisions of the Code and is against the legislative intent, it is the duty of the Resolution Professional to bring the same to the notice of the Appellate Authority by preferring an appeal.
The IBBI can monitor the performance of the Insolvency Professionals and in appropriate cases, may pass any direction as may be required for compliance of the provisions of the Code. The IBBI having no locus standi cannot challenge the finding of Adjudicating Authority.