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2022 (9) TMI 912 - NATIONAL COMPANY LAW APPELLATE TRIBUNAL , CHENNAI BENCHSeeking consideration of belated resolution plan submitted by the Respondents No.6 to 8 - Section 31 of the I&B Code, 2016 - HELD THAT:- The Appellant rightly invoked the jurisdiction of the Adjudicating Authority seeking approval of Resolution Plan of the 5th Respondent which was approved by the CoC on 11.02.2020. The CoC in their commercial wisdom and by exercising the powers under sub-section (4) of Section 30 of the I&B Code approved the Resolution Plan with 100% voting share, though as per the provision 66% of the voting share of the CoC, meets the requirement for approval of Resolution Plan. After approval of the Resolution Plan by the CoC, the Resolution Professional shall submit the resolution plan to the Adjudicating Authority for its approval under sub-section (6) of Section 30 of the Code. The power vested in the Adjudicating Authority, that it shall approve the Resolution Plan if it is satisfied that the plan has been approved by the CoC and meets the requirements or reject the Resolution Plan under sub-section (2) of Section 31 of the Code. Other than this the Adjudicating Authority simply cannot dispose of the application without considering the same on merits. The Adjudicating Authority miserably failed in exercising the powers vested in it and passed a cryptic and unreasonable order, this Tribunal is of the view that the said order is illegal and without application of mind. This Tribunal does not find any justification in passing the above impugned order when an application is pending for considering before the same Adjudicating Authority for approval of resolution plan. When an application is filed before the Adjudicating Authority seeking approval of Resolution Plan, meaning thereby the resolution process with respect to Corporate Debtor is in advance stage by overcoming the engrossing process as enshrined under the I&B Code from the date of initiation of CIRP against the Corporate Debtor till the approval of Resolution Plan - It is apt to note that the once Resolution Plan is approved by the CoC with requisite voting share i.e. 66%, in the present case, the CoC voted with 100% voting share in approving the Resolution Plan and the same is binding and irrevocable as between the CoC and the Successful Resolution Applicant. This Tribunal unequivocally comes to a resultant conclusion that the impugned order passed is per se illegal, without application of mind, the same is set aside - Appeal allowed.
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