In Brief
ACIL Limited, a manufacturer of automotive components, underwent corporate insolvency. The Committee of Creditors approved a Resolution Plan by Ramkrishna Forgings (the appellant) with 88.56% majority vote, which included ₹129.5 crore total payout and ₹80.44 crore upfront to financial creditors. The NCLT suspended approval, ordering re-valuation by the Official Liquidator citing concerns about valuation proximity to fair value and a 94.25% haircut. The Supreme Court held the NCLT exceeded its jurisdiction by interfering with the CoC's commercial decision without statutory grounds. The Court affirmed that NCLT's role is limited to verifying compliance with Sections 30(2) and 31 only; it cannot impose equity-based or procedural requirements outside the Code framework.
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