In Brief
A resolution plan submitted by the appellant to revive Rave Scans Pvt. Ltd. was approved by the NCLT offering ₹54 crore against a liquidation value of ₹36 crore. The dissenting financial creditor Hero challenged it before NCLAT, alleging discrimination because it received 32.34% of its claim while other creditors received 45%. The NCLAT modified the order citing an amended regulation (effective October 2018) requiring equal treatment. The Supreme Court held the plan was approved before the amendment became operative and therefore cannot be retrospectively subjected to the amended regulation. Since the plan complied with the applicable standard when approved and exceeded liquidation value, the NCLAT's directions were unjustified and set aside.
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