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NCLT Ahmedabad Approves 2775 Crore Inox Neo Authum For Wind World India
The has officially approved the ₹2,775 crore submitted by the consortium of and for . The decision marks a significant milestone in the long-drawn of the wind energy firm.
A Long Road to Revival
entered the in following an application by . The resolution process faced several hurdles, including the rejection of an earlier plan by the in . Following subsequent appeals and their eventual withdrawal in , the chose to restart the process. The successful consortium was selected after extensive negotiations and revisions, receiving a 96.47% majority vote during the final e-voting process.
Addressing Contentious Claims
The path to approval was complicated by objections from , a major , regarding the valuation of its €19 million claim and the use of disputed technology. In response to an earlier directive from the NCLT on , the consortium filed an addendum on . This addendum provided for the proper admission of these claims and gave an undertaking that the consortium would not assert proprietary rights over the disputed technology beyond what was legally available, pending the final outcome of a before the .
Key Observations from the Bench
Judicial Member Shammi Khan and Technical Member Sanjeev Sharma underscored the sanctity of the CoC's commercial decision-making powers.
The Tribunal remarked:
“The of the CoC in evaluating and approving a is paramount and cannot be interfered with by this , except to the limited extent of ensuring compliance with and for effective implementation.”
Furthermore, the bench noted the robustness of the plan, observing:
“In view of the foregoing detailed observations and findings, this Tribunal holds that the along with Addendum... is complete in all respects, compliant with the provisions of the and the CIRP Regulations, and is therefore fit for approval under .”
Financial Framework and Future Operations
The approved involves a total outlay of ₹2,775 crore. This includes a ₹1,875 crore upfront payment and ₹900 crore as restructured debt, to be settled within three months of the implementation date. The plan allocates ₹25 crore for workmen and employee dues, including provident fund and gratuity, and sets aside ₹1 crore for other operational creditors.
While the court approved the core , it directed the resolution applicant to seek separate approvals under the for the proposed demerger of the IPP undertaking into . The NCLT also emphasized that the "clean slate" principle of the Insolvency and Bankruptcy Code protects the resolution applicant from surprise claims, though it stopped short of granting a blanket waiver for all statutory liabilities, requiring sector-specific approvals to be handled by competent authorities. An Implementation and Monitoring Committee will now oversee the transition to ensure the company continues as a .
