Sunil Kumar vs Sh. Mohit Goyal And Others
- CitationCompany Appeal (AT) (Insolvency) No.1291 of 2023
Ratio decidendi
The rule this decision rests on
Where a resolution plan has been approved by the Committee of Creditors by majority of the homebuyers in the creditor class, a faction of homebuyers who seek relief against that approved plan after its approval by the CoC cannot displace the majority's decision: homebuyers who are creditors in the class must sink or sail with the majority, as laid down in Jaypee Kensington Boulevard Apartments Welfare Association v. NBCC (India) Ltd. Notwithstanding the rejection of such objections, the Adjudicating Authority, while considering approval of a resolution plan, is required to examine whether the plan complies with Section 30(2) of the Insolvency and Bankruptcy Code, 2016.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
Sunil Kumar ...Appellant
Versus
Mohit Goyal & Ors. ...Respondents
Present: For Appellant : Present but appearance not marked. For Respondents : Mr. Avdhesh Bairwa, Advocate.
ORDER
06.10.2023: This Appeal has been filed against order dated 17.07.2023
by which order I.A. No. 3669 of 2023 filed by the Appellant has been rejected.
Appellants are homebuyers who have filed application highlighting several
illegalities in the CIRP process. The Resolution Plan has already been
approved by the CoC by majority of homebuyers belonging to creditors in class
and plan is pending before the Adjudicating Authority.
2. Learned counsel for the Appellant submits that the Adjudicating
Authority rejected the application without application of mind.
3. We have considered the submissions of learned counsel for the
Appellant and perused the record.
4. The Adjudicating Authority has noted that after approval of the plan by
CoC a factional group of homebuyers have moved the Adjudicating Authority
seeking the relief prayed after the approval of plan by CoC. The Hon'ble
Cont'd.../ -2-
Supreme Court in the matter of "Jaypee Kensington Boulevard Apartments
Welfare Association & Ors. v. NBCC (India) Ltd. & Ors., Civil Appeal No.
3395/2020" already laid down that the homebuyers who are creditor in class
shall either sink or sail with the majority. The majority having approved the
plan, we do not find any error in the order of the Adjudicating Authority
rejecting the application filed by the Appellant. We, however, observe that the
Adjudicating Authority while approving the Resolution Plan has to examine
that the resolution plan is compliant to Section 30(2) of the I&B Code. With
these observations, we dismiss this Appeal.
[Justice Ashok Bhushan] Chairperson
[Barun Mitra] Member (Technical)
[Arun Baroka] Member (Technical) Archana/nn
Company Appeal (AT) (Insolvency) No.1291 of 2023
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