Earlier it went to BIFR and now came to NCLT.
While the Resolution process was going on by RP, laborers (approx. 400 in Number) went on strike. However, on perusal and convincing tone of the RP, they returned to work.
When the committee of creditors agreed to this plan on 2nd November 2017, everything was approved without any legal hitch. The next hearing was scheduled for 9th November 2017 at the tribunal. On 7th of November, 2017 there was an amendment in respect of the insertion of Section 29(A) restricting the promoters themselves to present a resolution plan. As such, on the hearing date, the Adjudicating Authority was not in favor of approving such a plan. However, ultimately RP could successfully argue the matter and AA approved the plan.
Certain media groups and some politicians began spreading news of the nexus between the corporate debtor and a senior political leader. The news was splashed by certain media groups without being verified. Such news creates discredit to the resolution process at a time when the resolution professional is trying to get an amicable resolution that is in the interest of all stakeholders and also in the national interest of the economy. However, since it was baseless, ultimately calmed down.
Thus with bona fide intention of the RP, promoters, and positive stand taken by the CoC members, the company came out with Resolution Plan under IBC and is now running successfully