NCLAT reserves verdict on Vedanta challenge to Adani JAL resolution plan

NCLAT has reserved judgment on Vedanta's appeals challenging Adani Enterprises' resolution plan for JAL, after hearing arguments from lenders and other stakeholders

The National Company Law Appellate Tribunal (NCLAT) on Wednesday reserved judgment on appeals filed by Vedanta challenging the approval of Adani Enterprises’ resolution plan for Jaiprakash Associates Ltd (JAL).

 

A bench led by Chairperson Ashok Bhushan and Technical Member Barun Mitra concluded hearings after detailed submissions from all sides, including the resolution professional, the Committee of Creditors (CoC), and Adani Enterprises. The tribunal directed parties to file brief written notes within two days.

 

The CoC is a committee of lenders that takes key decisions in the insolvency process of a distressed company.

 

Vedanta questioned the parameters used by lenders to assess competing bids, arguing that its offer of Rs 17,926 crore was superior to Adani Enterprises’ Rs 14,535 crore proposal, which was ultimately approved.

   

Earlier, on March 24, the appellate tribunal had refused to halt the implementation of the resolution plan cleared by the National Company Law Tribunal on March 17, though it clarified that the outcome would remain contingent on the pending appeals.

 

The matter subsequently reached the Supreme Court, which declined to stay the process but required that any significant policy decisions by the monitoring committee receive prior approval from the appellate tribunal.

 

The resolution plan submitted by the Adani group received the CoC’s approval in November 2025 with 93.8 per cent voting support. National Asset Reconstruction Company Ltd, the principal lender, held a dominant voting share of around 82 per cent, while other creditors included IDBI Bank, Axis Bank, Bank of New York Mellon and State Bank of India.

 

The CoC defended its decision, stating that the evaluation adhered strictly to the Insolvency and Bankruptcy Code and emphasised that financial value alone does not determine the winning bid. According to lenders, factors such as upfront cash recovery, feasibility, and implementation capability were also critical.

 

JAL entered the corporate insolvency resolution process in June 2024 following defaults totalling Rs 57,185 crore. The company holds a diverse portfolio spanning real estate, cement, hospitality, power, and engineering. Its key assets include the Jaypee Greens developments in Greater Noida and Noida, the Jaypee International Sports City near the upcoming Jewar airport, multiple commercial properties in Delhi-NCR, hotel assets across several cities, cement plants in Madhya Pradesh and Uttar Pradesh, and limestone mining leases. It also maintains stakes in group entities such as Jaiprakash Power Ventures, Yamuna Expressway Tolling, and Jaypee Infrastructure Development.