Authority: National Company Law Appellate Tribunal Principal Bench, New Delhi

Order Date: 17 August 2026

Case Overview

The National Company Law Appellate Tribunal (NCLAT) heard two connected appeals (Comp. App. (AT) (Ins) No. 1506 of 2026 and Comp. App. (AT) (Ins) No. 1507 of 2026) filed by Carnet Elias Fernandes against Jagdish Kumar Parulkar & Others. The appeals challenge the approval of a resolution plan by the Adjudicating Authority (NCLT) in an corporate insolvency resolution process.

The appellant's primary contention was that the resolution plan approved by the Committee of Creditors (CoC) violated Section 29A of the Insolvency and Bankruptcy Code (IBC). Specifically, the appellant argued that M/s Guru Trade Advisory Private Limited, a member of the successful consortium, did not have its Section 29A eligibility certified before the CoC approved the plan on the day of approval. The appellant further contended that M/s Naveen Infraspace Private Limited, which submitted the Expression of Interest (EOI) and was included in the provisional list of Prospective Resolution Applicants (PRAs), was precluded from adding any other member to form a consortium after submitting its EOI.

The respondent Resolution Professional (RP) countered these arguments by presenting the timeline of events: Form G was issued on 21 March 2025, with the last date for EOI submission being 20 April 2025. M/s Naveen Infraspace Private Limited submitted its EOI before 20 April 2025 and was included in the provisional list of six PRAs published subsequently, with the final list published on 15 May 2025. The RP highlighted Clause 207 of the Request for Resolution Plan (RFRP), which permitted prospective resolution applicants to submit plans in a consortium with any other person compliant with Section 29A of IBC, provided the lead member maintained at least 51% shareholding in the consortium until plan implementation.

The RP further stated that the due diligence report regarding M/s Guru Trade Advisory Private Limited's Section 29A compliance was submitted on 18 August 2025, and the compliance certificate was issued on 11 October 2025. This certificate was circulated to all CoC members via email on 13 October 2025, establishing that all Section 29A requirements were met before final consideration of the resolution plan.

Final Outcome

The NCLAT bench comprising Justice Mohammad Faiz Alam Khan (Member-Judicial) and Mr. Naresh Salecha (Member-Technical) declined to grant any interim relief to the appellant at this stage. The tribunal found that based on the admitted factual matrix emerging from the record, the appellant was not entitled to interim orders. The court issued notices to all respondents in both appeals and granted the RP two weeks to file a reply, with the appellant given one week thereafter to file a rejoinder. Both connected appeals were listed for admission hearing (after notice) on 18 September 2026.

Topics: Corporate Insolvency, Section 29A Compliance, Resolution Plan Approval