Quick Summary: The Bombay High Court at Aurangabad made a decision on several legal requests involving Ahmednagar Forgings Limited and its workers. The court decided that any claims not included in an approved plan to fix the company's financial issues are canceled, affecting many workers' requests to get their jobs back.
Ahmednagar Forgings Limited, now called Metalyst Forgings Limited, faced legal problems from several former workers, including Dongare Ganesh D. These issues were discussed by the Industrial Tribunal in Aurangabad.
The company couldn't pay back its loans, leading to legal action under the Insolvency and Bankruptcy Code (IBC) in 2017. By December 2017, the National Company Law Tribunal (NCLT) started a process to handle the company's financial problems and appointed a professional to manage the company's affairs.
Workers, represented by their union, accused the company of unfairly firing them and wanted their jobs back along with lost wages. They claimed that actions against union members were done out of revenge.
"The dismissal dated 15.04.2019 is in complete violation of required rules."
A plan to resolve the company's financial issues was approved by the NCLT on May 14, 2024. This plan transferred control to a new management team and canceled previous claims against the company.
Judge Arun R. Pedneker highlighted that once a plan to fix the company's financial issues is approved, all earlier claims not included are canceled. This follows the Supreme Court's decisions in similar situations.
"All claims which are not part of the resolution plan shall stand extinguished."
The court decided in favor of Metalyst Forgings, stating that the workers' claims for getting their jobs back and lost wages were not valid because of the approved plan. The court's decision put an end to ongoing discussions in the Industrial Tribunal.
