Information Memorandum prepared based on Resolution Plan Submitted & Approved by CoC cannot be modified: NCLAT

The NCLAT ruled that information memorandums, prepared based on resolution plans submitted and approved by the Committee of Creditors (CoC), cannot be modified unilaterally. The case arose after alterations were attempted to the resolution plan post-approval, which the tribunal deemed impermissible. NCLAT emphasized that any changes to the resolution plan must receive CoC approval and adhere to the rules outlined in the Insolvency and Bankruptcy Code (IBC). The ruling ensures procedural integrity and protects the interests of all stakeholders involved in insolvency proceedings. Legal experts view this judgment as critical for maintaining the sanctity of the resolution process and preventing arbitrary changes that could affect creditors or bidders. It underscores the importance of adhering to established insolvency rules to ensure fairness and transparency in resolution proceedings.