Case Law Details
UTI Employees Sai Samruddhi Cooperative Housing Society Vs PNB Housing Finance Ltd. & Ors. (NCLAT Delhi)
In a recent ruling by the National Company Law Appellate Tribunal (NCLAT) Delhi in the case of UTI Employees Sai Samruddhi Cooperative Housing Society Vs PNB Housing Finance Ltd. & Ors., the court underlined the importance of considering objections from stakeholders in the approval of resolution plans. The tribunal ordered that the appellant should be given an opportunity to raise objections to the resolution plan.
The case revolved around three appeals filed by the same appellant, challenging the dismissal of their Interlocutory Applications (IA’s) by the National Company Law Tribunal (NCLT). The appellant, an allottee of land under development, argued they should be allowed to raise objections to the resolution plan. The NCLT had initially ruled that the appellant had no locus to oppose the plan.
The respondents maintained that the appellant’s IA’s were an attempt to delay the process and supported the NCLT’s dismissal. However, acknowledging the stakeholder’s rights and the impact the resolution plan could have on them, NCLAT agreed that the appellant should be allowed to file objections to the resolution plan.
This ruling demonstrates the importance of stakeholder involvement in the resolution process, particularly when their rights could be affected by the resolution plan. It ensures a fair and inclusive process where all relevant objections are considered before a resolution plan is approved.
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