The Mumbai Bench of the NCLT has (orally) approved the resolution plan submitted by a consortium of AION Investments Private II Limited and JSW Steel Limited for Monnet Ispat & Energy Limited..However, the plan was approved with a modification that the coal mine Gare Palma IV/7 will not be included in the liquidation value of the company as the agreement for the mine had been cancelled by the coal ministry. The detailed order is expected by Monday..Judicial Member BSV Prakash Kumar also made the consortium sign an undertaking that a proposed capital reduction plan will not entail the elimination of (minority) shareholders going forward..Monnet Ispat was one of the twelve cases in RBI’s first list which was referred to the NCLT for insolvency proceedings. State Bank of India had triggered insolvency proceedings against Monnet Ispat and the case was admitted by the Mumbai Bench on July 18, 2017..Monnet Ispat has now become the third of the twelve cases to have been resolved under RBI list of cases referred for insolvency, following Electrosteel Steels and Bhushan Steel..The resolution plan for the company, inter alia, involves a one-time settlement payment to lenders, conversion of debt to equity for lenders, extinguishment of entire equity of the promoter, reduction and consolidation of listed share capital, merger and slump sale of bidding companies and various undertakings respectively..The financial creditors shall receive Rs. 2,676.92 crores in cash, and will hold 22.23% of equity share capital of the company on closing, in lieu of Rs. 11,014 crores of admitted claims. The operational creditors shall receive Rs. 25 crores, in lieu of Rs. 444 crores of admitted claims..The committee of creditors (CoC) comprised 40 creditors and the resolution plan was approved by an overwhelming majority of 98.87%..With the NCLT, the Competition Commission of India and the European Commission having accorded their approvals to the acquisition under the resolution plan, the closing under the resolution plan is expected by August end, 2018..Cyril Amarchand Mangaldas advised the Committee of Creditors. Mumbai and New Delhi based infrastructure & project financing Partners L Viswanathan and Spandan Biswal along with Mumbai based projects & insolvency partner Dhananjay Kumar and dispute resolution partner Indranil Deshmukh were involved..The Resolution Applicant (AION Investments Private II Limited & JSW Steel Limited) were represented by Shardul Amarchand Mangaldas whereas SBI Capital Markets Limited was the transaction advisors for the CoC..The Resolution Professional, Sumit Binani (supported by Grant Thornton) was represented by Argus Partners. The team from Argus Partners was led by Managing Partner Krishnava Dutt and Partners Ranjit Shetty and Adity Chaudhury.