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2019 (4) TMI 1607 - Tri - Insolvency and BankruptcyLiquidation of the Corporate Debtor if a Resolution Plan is rejected - CoCs rejecting of the Resolution Plan of the Applicant - Resolution Plan is rejected for reasons extraneous to the scheme of the IBC - HELD THAT:- Reasons stated by the CoCs for rejection of the Resolution Plan of the Applicant show that there has been significant haircut to which the creditors would be subject to, offer was materially lower than the OTS offer made in 2016, and much concern is about the preferential payments, potentially undervalued transactions and transactions that could have been made to potentially defraud creditors. The reasons given by the CoCs for rejection of Resolution Plan may not be looking plausible on the face of it. But, the reasons are justifiable, which point out towards commercial un-viability and uncertainties of the Resolution Plan submitted by the Applicant. CoCs while rejecting or accepting the Resolution Plan is under obligation to strike a balance between the interests of the creditors and Corporate Debtor. Resolution Applicant or the promoters of the Corporate Debtor cannot thrust their will on the creditors, who have already been pushed to odd position with regard to the recovery of their legitimate dues, which have been advanced to the Corporate Debtor in the shape of credit against the consideration for the time value of money. Resolution Professional, Adjudicating Authority or the Appellate Authority is/are not empowered to reverse the commercial decision of the CoCs. In view of the reasons recorded by the CoCs for rejection of the Resolution Plan of the Applicant and the legal proposition laid down by the Hon'ble Apex Court in K. SASHIDHAR VERSUS INDIAN OVERSEAS BANK & OTHERS [2019 (2) TMI 1043 - SUPREME COURT] , the Resolution Applicant has no vested right to challenge the rejection of its Resolution Plan. Therefore, the Application for challenging the rejection of the Resolution Plan is devoid of merit and stands rejected
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