CoC is fully competent to revise the Resolution Professional fee even if it was earlier approved by any earlier CoC decision – Khushvinder Singhal, Erstwhile RP of Bestways Transport (India) Pvt. Ltd. Vs. Reena Tiwari – NCLAT New Delhi

NCLAT held that in the present case, the decision of the CoC on which reliance is placed are of 30.04.2021 and 17.05.2021 where fee has been approved. It is submitted that the validity of such decision cannot be questioned subsequently. In the CIRP process, the CoC is fully competent to revise the fee even if it was earlier approved by any earlier CoC decision. The entitlement of fee depends on several factors including the change of circumstances, the length of CIRP proceeding hence we are of the view that CIRP Regulation 12(3) proviso does not fetter the CoC to consider the fee and expenses especially when we have noticed that the expenses claimed are also of subsequent period to the first and second CoC.

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If any Public depositor applies showing due of the debt claiming itself as operational creditor and the Resolution Professional or the Tribunal do not accept the claim on the ground that they are not financial creditor, we allow the appellant to raise the question before the Tribunal and if any adverse decision is given by the Tribunal, it will be open to the appellant to raise the issue before NCLAT- Hind Motors India Ltd. Vs. Adjudicating Authority NCLT, Chandigarh – NCLAT New Delhi

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