Petition filed u/s 94 of IBC does not Preclude Financial Creditor’s Right to Seeking Replacement of RP: NCLAT

The National Company Law Appellate Tribunal (NCLAT) ruled that the petition filed under Section 94 of the Insolvency and Bankruptcy Code (IBC) does not prevent financial creditors from seeking the replacement of a resolution professional (RP). The ruling clarifies that creditors retain the right to challenge and request the removal of the RP during insolvency proceedings. This ensures that creditors have a say in the administration of the insolvency process, maintaining the integrity of financial recovery efforts under the IBC framework.