Even after recommending a Resolution Plan for approval of the Adjudicating Authority, the Committee of Creditors can retract it and withdraw the decision in regard to approval of such Resolution Plan by the Committee of Creditors – Siva Rama Krishna Prasad Vs. S Rajendran, Official Liquidator of M/S Krishna Industrial Corporation Ltd. & Ors. – NCLAT New Delhi
NCLAT held that it is manifestly clear that even after recommending a Resolution Plan for approval of the Adjudicating Authority, the Committee of Creditors can retract it and withdraw the decision in regard to approval of such Resolution Plan by the Committee of Creditors. The Adjudicating Authority has rightly observed that even after pushing the Corporate Debtor into liquidation, Promoter/Ex-Director of the Corporate Debtor can take recourse to Section 230 of the Companies Act, 2013 by submitting a scheme for revival of the Corporate Debtor, subject of course to eligibility of the applicant. For the foregoing reasons, we find no merit in these appeals. Same being devoid of merit stand dismissed. No orders as to costs.
