The judgment approves a resolution plan under Sections 30(6) and 31 of the IBC, 2016, reaffirming that the Adjudicating Authority has limited jurisdiction and cannot interfere with the commercial wisdom of the Committee of Creditors.

Headnote:(A) Insolvency and Bankruptcy Code, 2016 - Sections 12, 19(2), 29A, 30(2), 30(6), 31, 32A, 43, 45, 47, 49, 50, 60(5), 66 - Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 - Regulations 36A, 37, 38, 39(4) - Approval of Resolution Plan - Once a resolution plan is duly approved by the Adjudicating Authority under sub-section (1) of section 31, the claims as provided in the resolution plan shall stand frozen and will be binding on the Corporate Debtor and its employees, members, creditors, including the Central Govt., any State Govt. or any local Authority, guarantors and other stakeholders. (Para 14.4) - The Adjudicating Authority has limited jurisdiction in the matter of approval of a resolution plan, which is well-defined and circumscribed by Sections 30(2) and 31 of the Code; there is no scope for interference with the commercial aspects of the decision of the Committee of Creditors. (Para 14.13)

(B) Insolvency and Bankruptcy Code, 2016 - Section 32A - Criminal liability - Upon the approval of the Resolution Plan, the Corporate Debtor avails the limbs of new management to revive its business; all the past liabilities of the Corporate Debtor including criminal liability prior to the initiation of the CIR Process shall stand effaced and the new management will step into the shoes of the company with a fresh or clean slate. (Para 14.10) - Extinguishment of the criminal liability of the corporate debtor, if the control of the corporate debtor goes in the hands of the new management which is different from the original old management. (Para 14.10)

(C) Insolvency and Bankruptcy Code, 2016 - Section 31 - Guarantors - Sanction of a resolution plan and finality imparted to it by section 31 does not per se operate as a discharge of the guarantor’s liability. (Para 14.8)

Facts of the case:
A company petition under Section 7 of the Insolvency and Bankruptcy Code, 2016 was filed by a financial creditor against a corporate debtor, which was admitted into Corporate Insolvency Resolution Process (CIRP). The Resolution Professional filed an application under Sections 30(6) and 31 of the Code for approval of the resolution plan submitted by the successful resolution applicant, which had been approved by the sole member of the Committee of Creditors (the financial creditor) with 100% voting share. Several pending interlocutory applications concerned non-cooperation by the suspended board and seeking directions for handover of assets.

Findings of Court:
The Tribunal approved the resolution plan for an amount of Rupees Three Crore Thirty Lakh only, finding it to be in accordance with Sections 30 and 31 of the Code and the relevant regulations. The moratorium imposed under section 14 ceased to have effect. The Resolution Professional was directed to hand over records to the Resolution Applicant to finalize further action. The Tribunal also directed the financial creditor to invoke personal guarantees, if not already done. Pending interlocutory applications were disposed of as having become infructuous.

Issues: The main issues were whether the resolution plan submitted by the successful resolution applicant complied with the provisions of the Insolvency and Bankruptcy Code, 2016 and the related regulations, and whether it should be approved by the Adjudicating Authority.

Ratio Decidendi: The court approved the resolution plan based on the commercial wisdom of the Committee of Creditors, which had approved it with 100% votes, and found that it met all statutory requirements. It relied on settled law that the Adjudicating Authority has limited jurisdiction and cannot interfere with the commercial aspects of the CoC's decision. It also held that upon approval, all claims not part of the plan stand extinguished, personal guarantors are not discharged, and the new management takes over with a clean slate regarding criminal liabilities. Result : Application allowed; resolution plan approved; pending interlocutory applications disposed of. Parties Involved: Financial Creditor, Corporate Debtor, Resolution Professional, Successful Resolution Applicant (M/s Joy Vincom Private Limited). Dissenting Opinions: None Quotes with Paragraph Numbers: - Para 14.4: "Once a resolution plan is duly approved by the Adjudicating Authority under sub-section (1) of section 31, the claims as provided in the resolution plan shall stand frozen and will be binding on the Corporate Debtor and its employees, members, creditors, including the Central Govt., any State Govt. or any local Authority, guarantors and other stakeholders." - Para 14.8: "sanction of a resolution plan and finality imparted to it by section 31 does not per se operate as a discharge of the guarantor's liability" - Para 14.10: "Upon the approval of the Resolution Plan, the Corporate Debtor avails the limbs of new management to revive its business. Thus, all the past liabilities of the Corporate Debtor including criminal liability prior to the initiation of the CIR Process shall stand effaced and the new management will step into the shoes of the company with a fresh or clean slate." - Para 14.13: "The Adjudicating Authority has limited jurisdiction in the matter of approval of a resolution plan, which is well-defined and circumscribed by Sections 30(2) and 31 of the Code."

Table of Content
1. application for approval of resolution plan. (Para 1)
2. background of cd and cirp process. (Para 2 , 3)
3. invitation and evaluation of resolution plans. (Para 4 , 5 , 6)
4. details of resolution plan and compliance. (Para 8 , 9 , 10 , 11 , 12 , 13)
5. reliefs, waivers and legal principles. (Para 14 , 15 , 16 , 17)
6. final order and directions. (Para 18 , 19 , 20 , 21 , 22 , 23 , 24)

I.A (IBC)(Plan)/34/2025 with I.A (I.B.C)/2272(KB)2024 And in C.P (IB) No.28/2024 IN THE NATIONAL COMPANY LAW TRIBUNAL KOLKATA BENCH, COURT-II KOLKATA I.A (IBC)(Plan)/34/2025 And I.A (I.B.C)/2272(KB)2024 And I.A (I.B.C)/160(KB)2025 in C.P (IB) No.28/2024 An application under Section 30(6) read with section 31 of the Insolvency and Bankruptcy Code, 2016 read with regulation

39(4) of the Insolvency and Bankruptcy board of India (Insolvency resolution process for corporate persons)

Regulations, 2016.

IN THE MATTER OF:

STATE BANK OF INDIA ……Financial Creditor Versus S.R. WORTH LIMITED ……Corporate Debtor And IN THE MATTER OF:

NEERAJ KUMAR SUREKA Resolution Professional Having an office at Central Plaza, 6th Floor, In C.P (IB) No.28/2024 Room No. H, 41 B B Ganguly Street, Kolkata, West Bengal - 700012 ……Applicant Order pronounced on: ------

CORAM:

MR. LABH SINGH, HON’BLE MEMBER (JUDICIAL)

MS. REKHA KANTILAL SHAH, HON’BLE MEMBER (TECHNICAL)

APPEARANCES:

Mr. Rishav Banerjee, Adv. ] For RP Ms. Arundhuti Barman Roy, Adv. ]

Mr. Niraj Shukla, RP-in-person Mr. Shaunak Mitra, Adv. ] For SBOD Mr. Saurav Jain, Adv. ]

Ms. Zeba Khan, Advocate ] For SRA

O R D E R

LABH SINGH, JUDICIAL (MEMBER)

1. The present interlocutory application bearing IA (IBC)

(Plan) No. 34/KB/2025 was filed on 18.11.2025 by Neeraj Kumar Sureka Resolution Professional ( for short ‘RP’) of S.R. Worth Limited, the Corporate Debtor ( for ‘CD’) under the provisions of Sections 30(6) and section 31 of the Insolvency & Bankruptcy Code, 2016 for short ‘IBC Code) read with Regulation 39(4) of the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 (for short ‘IBBI In C.P (IB) No.28/2024 (CIRP) Regulation 2016’) for approval of the Resolution Plan submitted by M/s Joy Vincom Private Limited, the Successful Resolution Applicant (SRA), as approved by the Committee of Creditors (CoC) with 100% vote.

2. Brief facts about Corporate Debtor and CIRP:

2.1 The underlying Company Petition in CP (IB) No. 28/KB/2024 was filed by State Bank of India against S.R. Worth Limited, the Corporate Debtor, under section 7 of the Insolvency and Bankruptcy Code 2016 and the Corporate Debtor was admitted in Corporate Insolvency Resolution Process (for short ‘CIRP process’) by this Tribunal vide order dated 30.08.2024.

2.2 Initially, Mr. Neeraj Kumar Sureka was appointed as the Interim Resolution Professional. Subsequently, upon confirmation by the Committee of Creditors under Section 22(2) of the Insolvency and Bankruptcy Code, 2016, the said Mr. Neeraj Kumar Sureka continued as the Resolution Professional of the Corporate Debtor, without any change in appointment.

3. Collation of Claims, Constitution of CoC, and Valuation:

3.1 The IRP made public announcement on 01.09.2024 in “Financial Express” (English newspaper) and “Aajkaal” (Regional language Newspaper) newspapers regarding initiation of CIRP process and called proof of claims In C.P (IB) No.28/2024 from the financial and operational creditors, workers and employees of the Company in the specified forms till

13.09.2024.

3.2 The Committee of Creditors was initially constituted on

21.09.2024. Subsequently, a claim was received from the Income Tax Department after the formation of the CoC. As the claim of the Operational Creditor exceeded 10% of the total admitted debt, the Applicant was required to reconstitute the Committee of Creditors. Accordingly, the CoC was reconstituted on 23.01.2025, comprising State Bank of India as the Secured Financial Creditor, holding

100% voting share in the CoC.

3.3 The applicant states that