Tribunal allows the relaxation and dispensation with the eligibility criteria of ‘Net Worth’ in respect of the MSME promoter of the Corporate Debtor – Goverdhan Das Bhaiya Vs. Mr. Pratap Mukherjee, RP of RSI Pvt. Ltd. and Ors. – NCLT Kolkata Bench
December 16, 2024
Hon’ble NCLT Kolkata Bench held that keeping the objective of the Code as well as the ILC Report and the decisions cited above, that as various relaxations have already been provided under Section 240A of the Code, further, relaxation to satisfy the financial solvency possessed by the MSME Promoter will not serve the object of the code. To ensure a feasible and viable resolution plan to revive the business of the Corporate Debtor and to attain the objective of value maximization of the asset of a corporate insolvent person especially where public money is involved, an exemption of from satisfying the Net worth is uncalled for.