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2019 (10) TMI 1366 - NATIONAL COMPANY LAW TRIBUNAL , KOLKATA BENCHApproval of Resolution Plan - distribution pattern of Resolution fund - case of applicant is that the distribution pattern filed by the Resolution Professional should be modified to make it fair and equitable to all Financial Creditors for the ends of justice - HELD THAT:- The Financial Creditor, Union Bank of India, the Applicant here, voted in favour of the approval of the Resolution Plan before the Committee of Creditors. It is also significant to note that the distribution pattern was deliberated upon before the Committee of Creditors at length. A copy of the Minutes, wherein the distribution pattern was deliberated upon before the Committee of Creditors in the meeting held on 26-09-2019, was brought to our notice. The very same objection in regard to distribution pattern raised by the applicant had been considered by the Committee of Creditors, while finalizing the pattern of the distribution of the Resolution fund. The Committee of Creditors approved the said pattern and the very same pattern is highlighted in the Resolution Plan too, and it is that Resolution Plan that has been approved by the COC, wherein the Applicant Bank voted in favour of the Resolution Plan. Therefore, it appears that the Applicant Bank is estopped from raising such an objection which has already been raised before the Committee of Creditors and the Committee of Creditors deliberated on those objections and upon certain clarifications, the said pattern was approved with majority of vote share. Therefore, the majority decision of the Financial Creditors cannot be disturbed by raising the very same objection before us. The objections raised by the applicant deserve no consideration and accordingly dismissed. Whether the Resolution Plan under consideration is liable to be approved? - HELD THAT:- The Resolution Plan provides the requirements to be meted out under Regulation 32(2). It provides the terms of the Plan and its implementation schedule, the management and control of the business of the Corporate Debtor during its terms, adequate means for supervising its implementation. A look at the Resolution Plan also shows that the Resolution Applicant has the capability to implement the Resolution Plan. The performance security also seen brought in. So also, the Resolution Applicant has submitted affidavit under Section 29(A) that it is eligible to submit a Resolution Plan like that of the Plan under consideration. The power of interfering the commercial wisdom of the Financial Creditor in approving the resolution plan is very limited. The Resolution Plan comes up for consideration being completed with all the requirements of Section 30(2) of the Code and that there is nothing brought out to show that the distribution pattern is unfair and unjust and that there is discrimination among the class of Financial Creditors in regard to distribution of the fund, we are bound by the approval of the resolution plan by the CoC - the plan under consideration satisfies with the requirements of Section 30(2), that the plan is fair and equitable and there is any unjust discrimination as alleged and that the plan adheres to the object of the Code i.e. maximizes the value of assets and balances the interests of all the stakeholders. Resolution plan is approved - moratorium order passed under Section 14 shall cease to have effect - petition allowed.
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