Right To Replace Resolution Professional Not Provided To Operational Creditor, Only CoC Can Replace RP: NCLT Chennai

The National Company Law Tribunal (NCLT) Chennai ruled that operational creditors do not have the right to replace the resolution professional (RP) in insolvency proceedings. The Committee of Creditors (CoC) holds the authority to replace the RP if necessary. The case involved a dispute where an operational creditor sought to replace the RP, arguing that the current RP was biased. The NCLT emphasized that the Insolvency and Bankruptcy Code (IBC) empowers the CoC to make such decisions, ensuring that the resolution process remains fair and unbiased. This ruling clarifies the roles and rights of creditors in insolvency proceedings.