NCLT Approves ₹3.4 Cr Resolution Plan of Ship Leasing Company with 100% CoC Assent subject to Statutory Scrutiny [Read Order]
The Tribunal clarified that the approval of a resolution plan does not automatically operate as a waiver of statutory obligations
The National Company Law Tribunal, Mumbai Bench-I (NCLT) recently approved a resolution plan worth ₹3.4 crore submitted by M/s Priyam Projects (I) Pvt. Ltd. for the corporate debtor M/s Steadfast Shipping Pvt. Ltd. (Steadfast Shipping) - a ship leasing company.
The Tribunal approved the resolution plan after noting that the plan had secured 100 percent assent from the Committee of Creditors (CoC). However, the Tribunal maintained that any reliefs or waivers sought in the plan would remain subject to statutory scrutiny by the authorities.
An application was filed by Nilesh Rajendra Kothari, the Resolution Professional (RP) of the corporate debtor Steadfast Shipping under Sections 30(6) and 31 of the Insolvency and Bankruptcy Code, 2016 (IBC). The applicant sought approval of the plan dated April 18, 2025, and later revised on May 20, 2025 which was approved by the CoC in its seventh meeting held on May 22, 2025.
The CorporateInsolvency Resolution Process (CIRP) against Steadfast Shipping had been initiated on November 27, 2024, based on a Section 7 petition filed by Punjab National Bank (International) Limited which was also the sole financial creditor on the CoC.
The applicant was represented before the NCLT by Mily Ghoshal and Sophia Hussain. The Resolution Professional.placed before the Tribunal, statutory compliance documents, including the Form-H compliance certificate and an affidavit confirming that the resolution applicant was not disqualified under Section 29A of the IBC.
It was further submitted that the plan aligned with the requirements of Section 30(2) of the Code and the relevant CIRP Regulations, and that the resolution applicant had furnished a performance security of ₹34 lakh.
The NCLT Bench of Sushil Mahadeorao Kochey (Judicial Member) and Prabhat Kumar (Technical Member) examined the plan in light of the statutory framework and observed that the plan value of ₹3.4 crore exceeded the actual liquidation value of ₹3.24 crore.
The proposed resolution plan also provided for payment of ₹25 lakh towards CIRP costs and ₹2.3 crore to the secured financial creditor within 60 days, with an ‘Implementation and Monitoring Committee’ in place to oversee the execution.
Referring to the ruling of the Supreme Court in Ghanshyam Mishra & Sons Pvt. Ltd. v. Edelweiss Asset Reconstruction Co. Ltd. (2019), the Tribunal clarified that the approval of a resolution plan does not automatically operate as a waiver of statutory obligations and that any reliefs or concessions sought by the applicant must receive approval from competent authorities.
Accordingly, the NCLT approved the resolution plan while directing the applicant to duly comply with the stipulated timelines and implementation under statutory supervision, while ending the moratorium under Section 14 of the IBC.
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