Application dismissed under Insolvency Code as time-barred; emphasizes Limitation Act applicability. Recovery focus noted.

The Tribunal dismissed the application under Section 9 of the Insolvency & Bankruptcy Code, 2016, as it was time-barred and not maintainable. The Tribunal emphasized that the provisions of the Limitation Act, 1963 apply to the Insolvency & Bankruptcy Code, 2016. Additionally, the Operational Creditor's pursuit of a separate recovery suit indicated a focus on recovery rather than insolvency resolution, contrary to the objectives of the Code. The Tribunal directed urgent issuance of certified copies of the order upon compliance with formalities, disposing of related applications as infructuous.

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Issues Involved:
1. Initiation of Corporate Insolvency Resolution Process (CIRP) under Section 9 of the Insolvency & Bankruptcy Code, 2016.
2. Application of the limitation period under the Insolvency & Bankruptcy Code, 2016.
3. Applicability of Section 22(5) of the Sick Industrial Companies (Special Provisions) Act, 1985 (SICA) on the limitation period.
4. Maintainability of the application under Section 9 of the Insolvency & Bankruptcy Code, 2016.

Issue-wise Detailed Analysis:

1. Initiation of Corporate Insolvency Resolution Process (CIRP) under Section 9 of the Insolvency & Bankruptcy Code, 2016:
The application was filed by the Operational Creditor for initiating CIRP against the Corporate Debtor, claiming a principal debt of Rs. 1,48,11,572/-. The Operational Creditor had supplied printing and packaging material to the Corporate Debtor, with the last supply made on 22.11.2004. Due to financial difficulties, the Corporate Debtor failed to make the payment and was referred to the Board for Industrial and Financial Reconstruction (BIFR) in 2005. The application for CIRP was filed on 24.11.2017 after the repeal of SICA in 2016.

2. Application of the limitation period under the Insolvency & Bankruptcy Code, 2016:
The Operational Creditor argued that the limitation period should be extended due to the proceedings under SICA. They cited Section 22(5) of SICA, which allows for the exclusion of the period consumed in such proceedings when computing the limitation period. The Corporate Debtor countered that Section 22(5) of SICA was not applicable, and thus the application was barred by limitation.

3. Applicability of Section 22(5) of the Sick Industrial Companies (Special Provisions) Act, 1985 (SICA) on the limitation period:
The Tribunal examined Section 22(5) of SICA, which provides for the exclusion of the period during which proceedings or remedies remain suspended. However, it was determined that this exclusion applies only to suits for recovery of money or enforcement of security, not to applications under Section 9 of the Insolvency & Bankruptcy Code, 2016. The Tribunal noted that the right to sue arose in 2004, and the acknowledgment of debt was made on 11.01.2005. The application was filed on 24.11.2017, which was beyond the limitation period.

4. Maintainability of the application under Section 9 of the Insolvency & Bankruptcy Code, 2016:
The Tribunal held that the application was not maintainable as it was time-barred. The Tribunal emphasized that the provisions of the Limitation Act, 1963 apply to the Insolvency & Bankruptcy Code, 2016, as held by the Supreme Court in B.K. Educational Services Private Limited vs. Parag Gupta and Associates. Additionally, the Tribunal noted that the Operational Creditor had exited the rehabilitation process and was pursuing a separate suit for recovery, which indicated an interest in recovery rather than insolvency resolution. This conduct was inconsistent with the objectives of the Insolvency & Bankruptcy Code, 2016.

Conclusion:
The Tribunal dismissed the application under Section 9 of the Insolvency & Bankruptcy Code, 2016, as it was barred by limitation and not maintainable. The Tribunal also disposed of other related applications as infructuous. Urgent certified copies of the order were directed to be issued upon compliance with requisite formalities.

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