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        Case ID :
        Insolvency and Bankruptcy

        CIRP - Former Employees claiming arrears of salary - Period of...

        NCLT admits Section 9 application: Ex-employees' salary arrears claim valid within limitation period due to MD's acknowledgment.

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                          Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                            Provisions expressly mentioned in the judgment/order text.
                                CIRP - Former Employees claiming arrears of salary - Period of limitation - at least to the extent of an acknowledgement made by the then Managing Director of the Corporate Debtor, the arrears of salary due for a period of at least 3 years prior to 30.09.2014 would certainly be within limitation, and therefore payable to the Appellant. This being the case, it is clear that the NCLT judgment is correct in admitting the Section 9 application by the Appellant. Mr. Rai correctly points out that the Employees Provident Fund letter dated 13.04.2016 was only a red-herring, and has nothing to do with the arrears of salary which had to be paid. - SC
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