NCLAT refuses to stay Adani’s ₹14,543 crore JAL resolution plan, seeks lenders’ responses
NEW DELHI/MUMBAI: The National Company Law Appellate Tribunal (NCLAT) on Tuesday refused to stay the application of billionaire Gautam Adani-led Adani Enterprises Ltd. ₹14,543 crore resolution plan for bankrupt Jaiprakash Associates Ltd (JAL) and refused to stay the company’s delisting, allowing the process to proceed while hearing Vedanta Ltd’s appeal.
The appellate court refused to grant interim relief on Vedanta’s request but agreed to hear the matter and sought a response from the Committee of Creditors (CoC) within a week. A bench headed by Chief Justice Ashok Bhushan said that in the meantime, the implementation of the scheme will continue.
“Implementation of the plan will continue and will depend on the outcome of this case,” the board said.
The court also rejected Vedanta’s plea to stay the delisting of the company and noted the CoC’s contention that if the resolution plan is subsequently quashed by the NCLAT, all steps taken under it, including delisting, will automatically be reversed.
The next hearing is on April 9.
Anil Agarwal-led Vedanta has challenged the Allahabad bench of the National Company Law Tribunal (NCLT)’s March 17 order, which approved Adani Enterprises’ plan and dismissed the mining company’s objections. He had previously described the approval as a “commercial conspiracy” and asked for his own proposal to be reconsidered.
At the heart of the dispute is how value should be assessed under the Insolvency and Bankruptcy Code (IBC). Vedanta claimed that it was the highest bidder, arguing that the lenders had failed to maximize value through a fair process. ₹12,505.85 crore on a net present value (NPV) basis.
Still, lenders have approved Adani’s plan, and Vedanta says it’s lower by approx. ₹Its total value is 3,400 crore and ₹500 crore in NPV. The company also alleged procedural unfairness, saying it was not provided with reasons or given the opportunity to clarify its offer.
Vedanta also noted an improved offer submitted on November 8, 2025, with upfront cash amounting to approx. ₹6,563 crore and equity transfer ₹800 crore should be taken into consideration, he said.
However, the CoC defended its decision, saying that the process was in line with IBC rules and that no bidder was guaranteed the right to win even if he offered the highest value.
Lenders said resolution plans are evaluated based on many factors, including not just title value but cash upfront, feasibility and ability to execute. Adani’s plan was preferred as presented ₹6,000 crore upfront and faster disbursement within two years compared to Vedanta’s disbursement timeline of up to five years.
They also rejected Vedanta’s revised bid, saying it came after the tender was closed and accepting it would require restarting the process. According to the lenders, all bidders were given equal opportunity and multiple chances to improve their offers.
The NCLT, in its judgment dated March 17, upheld the lenders’ decision, reiterating that the CoC’s commercial opinion is final and cannot be interfered with unless there is a clear legal violation. It found the process fair and harmonious and held that Vedanta was not entitled to be selected merely because it was the highest bidder.
Adani’s plan received about 93.8% of the vote share from financial creditors, well above the required threshold. The largest creditor, National Asset Reconstruction Co. Ltd (NARCL) played a key role in supporting the scheme.
According to the solution plan, Adani Enterprises’ offer is approx. ₹14,543 crore. To contain ₹800 crore allocated for capex and working capital, total plan value is approx. ₹15,343 crore. Against the allegations made against him ₹60,637 crore, which roughly translates to an improvement of 24%.
Separately, Velocity Enterprises, a Bhopal-based contractor, also approached the NCLAT after the NCLT rejected its excess claim. ₹1 crore on contractual work on March 17.
