Apex court recalls BPSL judgment

IT SAID, "THE Resolution Plan...as approved by the CoC (Committee of Creditors) stands rejected, being not in conformity with the provisions contained in sub-section (2) of Section 30, read with sub-section (2) of Section 31" of the Insolvency and Bankruptcy Code (IBC).

- 

Section 30 (2) deals with the resolution professional's duty to examine the resolution plans. Section 31(2) empowers the adjudicating authority (NCLT) to reject a resolution plan if it does not meet the requirements under IBC.

Deciding a batch of appeals challenging the NCLAT decision, the Supreme Court said it was "without any authority of law and without jurisdiction" and "is perverse, coram non judice and liable to be set aside". Exercising suo motu powers under Article 142, the court also directed NCLT to initiate liquidation proceedings against BPSL.