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2023 (3) TMI 18 - AT - Insolvency and BankruptcyApproval of the Resolution Plan - whether ‘PF’, ‘Gratuity’ and ‘Workmen/Employees dues’ have to be paid in full. - Section 30(1) of the Insolvency and Bankruptcy Code, 2016 - HELD THAT:- Limited enquiry which can be made by the Adjudicating Authority/this Tribunal while examining the ‘Plan’ is to see whether the Plan complies with requirements as provided for in Section 30(2) of the Code. The minimum that is required to be paid to Operational Creditors under a Resolution Plan said to be under Section 30(2)(b) of the Code as being the amount to be paid to such creditors in the event of liquidation of the Corporate Debtor under Section 53. Hon’ble Apex Court in Ebix Singapore Private Limited Vs. Committee of Creditors of Educomp Solutions Ltd. [2021 (9) TMI 672 - SUPREME COURT] has held that the Resolution Applicant has no jurisdiction to withdraw from the Resolution Plan or modify the Plan. The Adjudicating Authority has ample jurisdiction only to interfere with the Resolution Plan in the event that the Plan violates, or does not adhere to any of the provisions of Section 30(2) of the Code. It is categorically mentioned by the Resolution Professional that the Secured Financial Creditors and workmen were treated equally under the Plan with the allocation of 35.13 % of the admitted claim amounts and therefore the claims of workmen were fully considered. Having regard to the ratio of the Judgement in Jet Aircraft Maintenance Engineers Welfare Association [2022 (11) TMI 332 - NATIONAL COMPANY LAW APPELLATE TRIBUNAL, PRINCIPAL BENCH, NEW DELHI] of this Tribunal, upheld by the Hon’ble Apex Court, this Tribunal is of the earnest view that PF and Gratuity is to be paid in full as per the provisions of EPF and NP Act, 1952 and payment of Gratuity Act, 1972. Since admittedly the amounts paid are only 35.13% having treated them as Secured Creditors, it is opined that indeed there was a violation of the provisions of Section 30(2) of the Code, with respect to the payment of PF and Gratuity only. Undervaluation - scope and performance of SRA in taking over the unit are sans evidence - HELD THAT:- This Tribunal, does not find any other material irregularity, in the Approval of the Resolution Plan. Appeal allowed in part.
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