Case Note & Summary
The appeal was filed by Sonal Sumit Mehta, represented by Vikas Jain, against an order dated 01.06.2026, which directed her to pay the balance resolution amount within 45 days with interest at 12% per annum. The resolution plan had been accepted by the adjudicating authority on 23.02.2026, allowing 90 days for the appellant to deposit Rs. 18,81,00,000, of which Rs. 4,20,43,964 had already been paid. The appellant contended that despite the upfront payment, possession of the property located at S P – 2, RIICO Industrial Area, Kilkipura, Shivdaspura, Jaipur, was not handed over as stipulated in the resolution plan. The plan specified that possession would be granted upon payment of the upfront amount, but the release of charge would occur only after full payment. The appellant argued that any delay in vacating the property should not count against the implementation schedule of the resolution plan. The Monitoring Committee's counsel agreed with the appellant's submissions. The Tribunal ultimately set aside the impugned order regarding the payment direction, allowing the appeal and affirming the need for strict adherence to the resolution plan's conditions, including the exclusion of any additional time required for property vacation from the implementation period.
Headnote
A) Insolvency Law - Implementation of Resolution Plan - Compliance with Conditions - Insolvency and Bankruptcy Code, 2016, Section Not Mentioned - The court held that the appellant should not be compelled to pay the balance amount with interest as it contradicts the resolution plan approved by the adjudicating authority. The court emphasized that any delay in vacating the property should be excluded from the implementation period of the resolution plan (Paras 9-10).
Issue of Consideration
Whether the direction to pay the balance amount with interest contravenes the approved resolution plan.
Final Decision
The Tribunal set aside the impugned order directing the appellant to deposit the balance amount within 45 days with interest, allowing the appeal and affirming adherence to the resolution plan's conditions.
Law Points
- Insolvency resolution
- possession of assets
- implementation schedule
- interest on payment
- exclusion of delay
