Once a resolution plan is approved under the IBC, all claims not part of the plan are extinguished, and the tribunal lacks jurisdiction to adjudicate on such claims.

JUDGMENT

AMIT SHARMA, J.

1. The present petition under Articles 226 and 227 of the Constitution of India , 1950, seeks the following prayers: -

“1. To issue an appropriate writ, order or direction in the nature of Mandamus to the First Respondent, i.e. Ministry of Corporate Affairs, being the supervisory ministry in the implementation of IBC, to provide clarification to the questions of law raised in the present Writ Petition qua the IBC and confirm/declare that the approved Resolution Plan is binding on all creditors of the Petitioner, including the Second Respondent herein;

2. To issue an appropriate writ, order or direction in the nature of Certiorari setting aside the Order dated October 07.2020 passed by the Arbitral Tribunal;

3. To issue an appropriate writ, order or direction in the nature of Mandamus directing the Arbitral Tribunal to terminate the arbitration proceedings in Arbitration-I/Matter of 2009 and Arbitration II/Matter of 2006 as there being no cause of action surviving in favour of the Second Respondent and alleged claim of the Second Respondent having been extinguished abated and withdrawn;

4. To issue any other suitable writ, order or direction which the Hon'ble Court may deem fit and proper in the circumstances of the case;

5. To award cost of this writ petition to the Petitioner.”

2. Relevant facts, as stated by the Petitioner, necessary for adjudication of the present petition are as under: -

i. Tata Steel Limited, being the successor-in-interest of Angul Energy Limited (formerly known as Bhushan Energy Limited) (hereinafter referred to as the “Petitioner”) has preferred the present petition for the purposes of setting aside of the impugned order dated 07.10.2020 (hereinafter referred to as the “Impugned Order”), passed by the Learned Arbitral Tribunal, on an application preferred on behalf of the Petitioner (Respondent/Applicant therein), under Section 32 (2)(c) read with Section 16 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as the “Arbitration Act”) seeking termination of the Arbitral proceedings on the ground that the Resolution Plan dated 11.06.2018 extinguishes the claim filed against the Petitioner in the said proceedings;

ii. The Petitioner was incorporated under the provisions of the Companies Act, 1956 (hereinafter referred to as the “Companies Act”) and is an unlisted public limited company within the meaning of the Companies Act;

iii. On 09.06.2006, the Petitioner entered into the following contracts with ISGEC Heavy Engineering Limited, i.e., Respondent No. 2, who is a public listed company registered under the Companies Act: -

(a) Contract Ref. No. 8/BEL/09-10/039 dated 28.11.2009 for supply of 2x425 TPH CFBC Boilers for a total value of Rs.178 Crores excluding all taxes, duties and levies;

(b) Contract dated 09.06.2006 as amended on 12.03.2007 for supply of 4x250TPH CFBC Boilers for a total value of Rs. 175.10 crores excluding all taxes, duties and levies;

(c) Work Order Ref. No. 8/BEL/09-10/041 dated 21.12.2009 for Erection and Commissioning of the 2x425 TPH CFBC Boilers for a total value of Rs. 30 Crores excluding all taxes, duties and levies.

iv. On account of various disputes pertaining to non-performance of the contractual obligations by the Petitioner, Respondent No. 2 initiated Arbitral proceedings against the Petitioner before the learned Arbitral Tribunal, comprising of Hon’ble Mr. Justice (Retd.) R.C. Lahoti, Hon’ble Mr. Justice (Retd.) Vijendra Kumar Jain and Hon’ble Mr. Justice (Retd.) Manmohan Sarin. The said Arbitral proceedings were bifurcated by the learned Arbitral Tribunal into two separate arbitrations, namely Arbitration-I/Matter of 2009 and Arbitration- II/Matter of 2006 and both the proceedings were conducted by the learned Arbitral Tribunal simultaneously as the disputes between the parties were interconnected and inter-dependent;

v. During the pendency of the Arbitral proceedings, Corporate Insolvency Resolution Process (hereinafter referred to as “