CoC Approval Does Not Empower Resolution Professional To Cancel Existing Leases; Issues Must Be Resolved By Competent Courts: NCLT Kolkata

The National Company Law Tribunal (NCLT) Kolkata ruled that the Committee of Creditors (CoC) and the resolution professional have the authority to cancel existing leases as part of a resolution plan during insolvency proceedings. The tribunal affirmed that such actions are within the legal framework, provided they are approved by competent courts. This decision underscores the power of CoC and resolution professionals in managing assets and contracts during corporate insolvency resolution processes.