Drafting of Resolution Plan
"Resolution Plan" means a plan provided by the resolution applicant for the corporate debtor's bankruptcy resolution as a going concern in line with Chapter II of Part II of the Insolvency and Bankruptcy Code. A resolution applicant, in simple terms, is "anyone who submits a resolution proposal to the resolution professional."
A Resolution Plan is a rehabilitation plan for a corporate debtor (CD) that is going into insolvency. It is a report based on the information memorandum provided by the Resolution Professional that focuses on legal, financial, management, and technical methods to help the CD get back on its feet. It must be approved by the committee of creditors ("COC") and meet the IBC's required conditions.
Preparation and Submission of the Resolution Plan
A Resolution Applicant must submit information in accordance with the RFRP (Request for Resolution Plan) which is shared by RP after COC’s approval along with the requirements set forth in the IBC, 2016 and CIRP Regulations. The applicant must sign and date each document in the place given therein and also sign each page of all documents. (The Resolution Applicant must submit any undertakings, authorizations, forms, documents, and information needed by Applicable Law and available in this RFRP.) Documents connected to the Resolution Plan should be signed in the manner specified in the relevant format of such document in this RFRP, either by the Resolution Applicant or an Authorised Representative of the Resolution Applicant. All requisite forms, documents, and authorizations must be signed and stamped by the Authorised Representative of the Resolution Applicant. (Each Resolution Applicant shall submit an affidavit in support of the IBC, 2016 related Undertaking, which should be certified and notarized by a notary public.) A Resolution Applicant should give the requested information to prove the Resolution Applicant's competence and ability to manage and administer the company to the satisfaction of the COC. Strict adherence to forms, documentation, or authorizations stipulated in the RFRP is needed. Where information is sought in specified forms/documents/authorizations, the Resolution Applicant must refrain from using any brochures/pamphlets. Non-compliance with forms, documentation, or authorizations, as well as the submission of inadequate material, may result in the Resolution Plan being declared non-responsive. Each form, paper, or authorization must be signed by the Resolution Applicant and correctly stamped/corporate seal affixed.
Execution of Resolution Plan
To implement the plan, the IBC, under Regulation 38 (2), requires the resolution plan to clarify the following points:
- The plan's conditions and implementation timetable, such as –
- Control and management of the CD's operations during its tenure.
- Adequate standards for supervising implementation, during which the Resolution Applicant may or may not advise that the resolution plan be a part of the monitoring committee.
(1) timeline for payment of CIRP costs, OC, dissident FC, and other stakeholders, if any; and
(2) getting clearance under the Competition Commission Act, RBI in regard to ECBs, and SEBI, depending on the circumstance.
How S.K. Agrawal & Co. Helps in Resolution Plan?
- Understand the business of the Corporate Debtor, its financial position, assets and liabilities, capacity, product range, input profile, customer profile, fixed cost, variable cost, etc.
- Preparation and vetting of Resolution Plans
- Evaluation Matrix
- Business analysis and Due Diligence
- Preparation of Process Document
- Facilitate visits of Prospective Resolution Applicants for the inspection of business and assets of Corporate Debtor.
- Implementation of Resolution plans
- Presentation of resolution plans and representations of resolution applicant before RP, COC , NCLT
- Filing of application with the concerned bench of Hon’ble National Company Law Tribunal.
- Follow up and pleading of application filed with NCLT on behalf of the concerned applicant.
- Appearance before Hon’ble NCLT/NCLAT. li>Drafting of application for appeal to be filed before the Hon’ble National Company Law Appellate Tribunal.
- Follow up and pleading of application filed before Hon’ble National Company Law Appellate Tribunal.
Service Area
We provide strategic and qualitative advisory services to all our clients from domestic to international organizations, small, medium and large sized enterprises, assisting them with their incorporation and quality management services so they can establish their business successfully globally. To help them deal with their tax issues, financial and legal requirements we provide all support for post incorporation services, so they are able to run their business seamlessly. We are based at New Delhi and Faridabad, but our wings are spread to serve clients across the globe. Customer Satisfaction, Quality of Service and our Turnaround time are the drivers of our enthusiasm and success. We are continuously serving our client at Faridabad, Delhi, Gurgaon (Gurugram), Noida (Gautam Budh Nagar), Sonipat, Panipat, Palwal, Jind, Karnal, Meerut, Kolkata, Mumbai (Bombay), Pune, Bangalore, Nasik, Aurangabad, Nagpur, Ludhiana, Amritsar, Mohali, Hyderabad, Kanpur, Agra ,Rudrapur, Haridwar, Jamshedpur, and many other Industrial Areas.