Ratification Of IRP Fees By CoC Can Be Implied From Meeting Minutes And Conduct: NCLAT Chennai

The NCLAT (National Company Law Appellate Tribunal) Chennai bench has held that the "ratification of IRP (Interim Resolution Professional) fees by CoC (Committee of Creditors) can be implied from meeting minutes and conduct." This ruling provides flexibility in recognizing the approval of fees for Interim Resolution Professionals under the Insolvency and Bankruptcy Code (IBC). While formal explicit ratification is preferred, the tribunal acknowledged that consistent references in CoC meeting minutes, along with the subsequent actions and conduct of the CoC, can be sufficient to demonstrate implied consent and ratification of the IRP's fees and expenses.