IBC admission turns on complete disclosure and proved default, not on pending SARFAESI or recovery proceedings.

A Section 10 insolvency application was held admissible because it was filed in the prescribed form with the required documents and disclosures, and the record established debt and default. Objections based on alleged non-disclosure, pending recovery proceedings and SARFAESI measures were rejected because they did not show any statutory ineligibility and did not bar admission of a complete application under the Code. The Adjudicating Authority held that it could not travel beyond the record required by the Code and Rules; once completeness and default were shown, admission followed and corporate insolvency resolution process, with moratorium and ancillary directions, was ordered to commence.

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Issues: Whether the application under Section 10 of the Insolvency and Bankruptcy Code, 2016 was complete and admissible despite objections based on alleged non-disclosure, pendency of recovery proceedings and steps taken under the SARFAESI Act, 2002.

Analysis: The application was found to be in the prescribed form with the requisite documents and disclosures. The existence of debt and default was established from the record, and the objections raised by the financial creditors did not demonstrate any statutory ineligibility under Section 11. The pendency of SARFAESI ures and other recovery proceedings was held to be no bar to admission of a complete application under Section 10. The Adjudicating Authority held that it could not go beyond the record prescribed by the Code and the Rules, and once default and completeness were shown, admission followed. On that basis, the request for commencement of corporate insolvency resolution process was accepted and moratorium and ancillary directions were issued.

Conclusion: The application under Section 10 was admitted and corporate insolvency resolution process was directed to commence in favour of the corporate applicant.

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