Proceeding for claims not part of resolution plan not permissible: Andhra Pradesh HC

Patanjali Foods Limited Vs Assistant Commissioner St Fac and Others (Andhra Pradesh High Court) Andhra Pradesh High Court held that claim not part of resolution plan stand extinguished on the date of approval of resolution plan and no person will be entitled to initiate or continue any proceedings in respect to a claim, which is not part of the resolution plan. Facts- The petitioner in both these cases is one M/s. Patanjali Foods Limited. The petitioner, on account of its financial difficulties, had been subjected to insolvency proceedings under Insolvency and Bankruptcy Code 2016. In the cour...