NCLAT sets aside NCLT's nod to Vedanta's resolution plan for Videocon Group

The National Company Law Appellate Tribunal (NCLAT) on Wednesday set aside the approval given by NCLT Mumbai to the resolution plan submitted by Vedanta's Twinstar Technologies Ltd. for Videocon Industries Ltd. 

The NCLAT has also remitted the matter to the committee of creditors (CoC) for completion of the process pertaining to CIRP in accordance with the law. 

A two-member bench of Jarat Kumar Jain and Ashok Kumar Mishra said the provisions of the Insolvency and Bankruptcy Code (IBC) have not been complied with during the corporate insolvency resolution process of Videocon Group. 

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"In view of the analysis of facts and law, we have come to the conclusion that section ... of the code (IBC) has not been complied with. Hence the approval of the resolution plan is not in accordance with section 31 of the code. Accordingly, the approval of the resolution of the plan by CoC as well as the designated authority (NCLT) is set aside. The matter is remitted back to CoC," the appellate tribunal said while disposing of all the interim applications. 

Bankruptcy court NCLT had in June last year allowed billionaire Anil Agarwal's Twin Star Technologies to take over Videocon Industries Ltd for about Rs 3,000 crore. 

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