NCLAT Delhi rules fresh Form G permitted after rejection of revised IBC resolution plan

The National Company Law Appellate Tribunal (NCLAT) Delhi has determined that initiating a fresh Form G is permissible following the rejection of a revised resolution plan under the Insolvency and Bankruptcy Code (IBC). Form G is the official public invitation issued by an insolvency professional inviting expression of interest from prospective resolution applicants to take over a distressed company.

When a revised resolution plan fails to secure approval, allowing a fresh Form G ensures the corporate debtor has another opportunity to attract viable bids, balancing the objective of value maximization with timely resolution. Insolvency professionals and legal practitioners must review their resolution timelines and documentation protocols to incorporate fresh bidding stages when revised plans fail.

Track further NCLAT orders and Supreme Court precedents regarding IBC timelines. Bottom line: This ruling offers procedural flexibility in corporate insolvencies, impacting how creditors manage failed resolution attempts.