CoC can reject a Resolution Plan of a Resolution Applicant even the offered value is more than the offered value of the Successful Resolution Applicant – M/s Silicon Jewel Industries (Pvt.) Ltd. Vs. Mr. Kailash T. Shah RP for Sterling Lam Ltd. – NCLT Ahmedabad Bench
The Adjudicating Authority held that the Applicants were given an opportunity to revise the resolution plan but, the Applicants had not submitted the resolution plan at a given time. The contention of the Applicants that the offered value of the resolution plan of the Applicants was more than the offered value of the Successful Resolution Applicant even then the CoC rejected the resolution plan of the Applicants is not well-founded. It is not a disputed fact that the Applicants had not submitted the revised resolution plan at 3:30 PM on the day of the 7th CoC meeting. Moreover, the CoC in its commercial wisdom considered the resolution plan of the Successful Resolution Applicant more feasible and viable and approved the plan which is equally important as the maximization of the value of the assets of the Corporate Debtor.
