NCLAT replaced the Resolution Professional who failed to examine Resolution Plan as required u/s 30(1) r/w Sec. 30(2) & an ineligible person was supported in the face of documents to the contrary – Navneet Jain Vs. Manoj Sehgal RP of Sarbat Cotfab Pvt. Ltd. – NCLAT New Delhi
The Resolution Applicant(R-2) and Suspended Director of the Corporate Debtor (R-3) were partners in two firms. R-2 filed a resolution plan. The Adjudicating Authority approved the Resolution Plan submitted by R-2.
NCLAT set aside the order and remitted back the case to AA and declared all actions taken in implementation of the Resolution Plan null and void and held that since the earlier Resolution Professional failed to examine Resolution Plan as required under Section 30(1) read with Section 30(2) and an ineligible person was supported in the face of documents to the contrary, he shall be replaced and another appropriate Resolution Professional shall be appointed as Liquidator under Section 34(4) of IBC. In the facts of the matter, R-2 and 3 are saddled with costs Rs. 4 lakhs to be deposited in the Prime Minister’s Relief Fund.