On approval of resolution plan old management of Corporate Debtor should be treated as fresh

Ramesh D. Shah Vs Vijay Pitamber Lulla (NCLT Delhi)

NCLT Mumbai held that once the resolution plan is approved by the Adjudicating Authority, the management/ownership of the Corporate Debtor shall be considered as fresh, even if the directors/promoters of the Corporate Debtor (MSME) remain the same.

Facts-

On perusal of the Application, it reveals that the applicant has prayed for the appropriate directions against the Respondents for causing hinderance in the smooth implementation of the Resolution Plan by not allowing normal operations in the Current Account no. 059311010000010 opened by the Applicant for conducting transactions towards implementation of the Resolution Plan, by not upgrading the asset classification of the Company’s account to “Standard” as per Reserve Bank of India norms and further by not releasing the FDR amount of Rs. 47.65 Lakhs belonging to the Corporate Debtor.

Conclusion-

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