NCLAT Rules Pre-CIRP Dues Must Be Paid As Per Resolution Plan; Voluntary Payments Post-CIRP To Be Appropriated Towards CIRP Dues

The National Company Law Appellate Tribunal (NCLAT) ruled that any dues arising before the commencement of the Corporate Insolvency Resolution Process (CIRP) must align with the approved resolution plan. This ruling reinforces the binding nature of the resolution plan on all creditors, ensuring that pre-CIRP claims do not disrupt the restructuring efforts laid out by the plan. It is a significant ruling for insolvency proceedings, emphasizing the finality and enforceability of resolution plans.