Section 7 insolvency admission turns on proven default, a complete application, and no disciplinary bar on the resolution professional.

Default under a financial debt may be established through account statements, bankers' certificates, and demand notices showing non-payment and classification of the account as non-performing. A Section 7 application is complete where objections on charge particulars or computation are cured by later filings, and the absence of information-utility records does not defeat admission if other reliable evidence proves default. Admission also requires no pending disciplinary proceedings against the proposed Resolution Professional, supported by consent and eligibility certification. Where these elements are satisfied, the corporate insolvency resolution process follows, with moratorium and appointment of an Interim Resolution Professional.

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Issues: (i) Whether a default had occurred; (ii) Whether the application under Section 7(2) was complete; (iii) Whether any disciplinary proceedings were pending against the proposed Resolution Professional.

Issue (i): Whether a default had occurred.

Analysis: The outstanding debt exceeded the sanctioned financial facilities, the account statements and bankers' certificates supported the claimed dues, and the demand notices under the SARFAESI Act and subsequent demand notice reflected non-payment and classification of the account as non-performing.

Conclusion: Default was established in favour of the petitioner.

Issue (ii): Whether the application under Section 7(2) was complete.

Analysis: The objections regarding lack of charge registration particulars and computation details were cured by subsequent filings. The disclosure of security valuation was not material to admission, and absence of information-utility records did not render the application incomplete where other evidence of default was produced.

Conclusion: The application was held to be complete in favour of the petitioner.

Issue (iii): Whether any disciplinary proceedings were pending against the proposed Resolution Professional.

Analysis: The proposed professional furnished the required consent and certification of eligibility, and no pending disciplinary proceedings were shown.

Conclusion: No disciplinary proceedings were pending against the proposed Resolution Professional.

Final Conclusion: The petition satisfied the requirements for admission, the corporate insolvency resolution process was initiated, moratorium was declared, and an Interim Resolution Professional was appointed.

Ratio Decidendi: A Section 7 application is to be admitted where default is proved, the application is otherwise complete, and no disciplinary proceeding is pending against the proposed resolution professional; information-utility records are not indispensable when default is established by other reliable evidence.

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