Operational debt and admitted default supported insolvency admission and triggered moratorium under the code.

Operational debt and default were treated as established where the record contained invoices, agreements, a supplementary memorandum of understanding, bank statements and email communications acknowledging the outstanding balance. Service of the demand notice was shown, and no effective dispute was raised. The corporate debtor's correspondence and counsel's statements admitting the unpaid amount and seeking time for payment were relied on as clear evidence of liability and default. On that basis, the statutory requirements for admission under the insolvency framework were satisfied, and the application was admitted with commencement of the corporate insolvency resolution process and moratorium as the legal consequence.

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Issues: Whether the operational creditor established a recoverable operational debt and default so as to warrant admission of the application and commencement of the corporate insolvency resolution process.

Analysis: The corporate debtor's liability was supported by invoices, agreements, the supplementary memorandum of understanding, bank statements, and email communications acknowledging the outstanding balance. The record also showed service of demand notice under the insolvency framework and absence of any effective dispute. The corporate debtor, through counsel and correspondence, admitted the unpaid amount and sought time for payment, which was treated as clear evidence of default. The application was found to satisfy the statutory requirements for admission under the insolvency law.

Conclusion: The application was admitted, the corporate insolvency resolution process was initiated, and moratorium was ordered.

Ratio Decidendi: Where operational debt and default are affirmatively established through documentary evidence and admission of liability, the application under the insolvency code is liable to be admitted and moratorium follows as a statutory consequence.

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