In Vistra ITCL v. Torrent Investments Pvt. Ltd., the NCLAT held that Regulation 39 (1A) of the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 can neither foreclose nor prohibit the Committee of Creditors (‘CoC’) from negotiating with Resolution Applicants (‘RP(s)’) or asking the RPs to further increase the value of the resolution plan received under the challenge mechanism. The NCLAT further held that even after completion of the challenge mechanism, pursuant to Regulation 39(1A)(b), the CoC retains its jurisdiction to negotiate with the RPs or to annul the resolution process and re-issue the request for a resolution plan.
 Vistra ITCL v. Torrent Investments Pvt Ltd, Company Appeal(AT)(Ins) Nos. 132, 133, 134 of 2023.