In Brief
This landmark judgment affirms a resolution plan in the CIRP of Jaypee Infratech Limited, approved by 97.36% of Committee of Creditors. The Supreme Court held that the commercial wisdom of CoC is non-justiciable; the Adjudicating Authority has limited jurisdiction to approve plans only if compliant with Section 30(2) IBC, otherwise must remit for reconsideration. The Court rejected challenges by homebuyers as a class (bound by majority vote), dissenting financial creditors claiming equity instead of cash payment (improper), and holding companies seeking return of deposited funds. Statutory contracts with government agencies cannot be unilaterally altered without consent. While disapproving certain stipulations regarding YEIDA's land and additional compensation, the Court directed NCLT to remit these issues back to CoC rather than modify the plan itself, preserving the boundary between judicial review and commercial decision-making in insolvency resolution.
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