Whether Unsuccessful Resolution Applicant have vested right to challenge eligibility of Successful Resolution Applicant – Creative Channel Advertising & Marketing Pvt. Ltd. Vs. Mr. Rohit Ramesh Mehra and Ors. – NCLT Mumbai Bench
The Hon’ble NCLT with respect to the IAs filed by PRA considered that since the plan already stands approved by the CoC in its commercial wisdom, these belated contentions are filed after filing of the Application for the approval of the Resolution Plan by RP. Moreover, this process under the IBC is a time bound process wherein the legislature and the regulator have set out specific timelines within which the process should be completed, including timelines within which PRAs can raise objections with respect to inclusion or exclusion of a PRA in the provisional list of PRAs basis the eligibility criteria. Therefore, the contentions raised thereafter are highly belated and now cannot be used to turn around and derail the process. Hence, relying on the above the applications are not maintainable as the unsuccessful resolution applicants have no vested right.