The National Company Law Appellate Tribunal (NCLAT) dismissed the appeals challenging an order by NCLT, Mumbai approving the resolution plan submitted by Sarda Energy & Minerals Ltd. (SEML) for SKS Power Generation (Chhattisgarh) Ltd.
The appeals were moved by unsuccessful resolution applicants Torrent Power Ltd., Jindal Power Ltd. and Vantage Point Asset Management Pte. Ltd.
In its judgment, the NCLAT said the appellants could not make out sufficient grounds to interfere with the NCLT’s decision.
“The law as laid down by the Hon’ble Supreme Court…. clearly give[s] paramount importance to the decision of the CoC [Committee of Creditors] taken in commercial wisdom to approve a Resolution Plan and Hon’ble Supreme Court has outlined the limited jurisdiction of NCLT and NCLAT to interfere with the said decision of the CoC,” the NCLAT said.
The ruling in this appeal comes after the Mumbai bench of the NCLT had approved SEML’s resolution plan through an order on August 13, 2024.
SKS Power’s amalgamation with SEML became effective from September 3, 2024 and the latter had taken control of SKS after acquiring it for Rs. 1,950 crore.
SKS has an operational coal-based power plant with a total capacity of 600 MW, with ready infrastructure for another 600 MW.
Published - October 01, 2024 08:41 pm IST
