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Operational Creditor failed to prove debt and default beyond threshold limit against Corporate Debtor. Adjudicating Authority rightly rejected Section 9 application as alleged debt fell within Section 10A prohibited period during COVID-19 pandemic. Mere issuance of invoice did not constitute default date without evidence of delivery to Corporate Debtor. Application filed with malicious intent to settle family dispute, not for insolvency resolution. Appellate Tribunal affirmed rejection of application and imposition of penalty.
Operational Creditor failed to prove debt and default beyond threshold limit against Corporate Debtor. Adjudicating Authority rightly rejected Section 9 application as alleged debt fell within Section 10A prohibited period during COVID-19 pandemic. Mere issuance of invoice did not constitute default date without evidence of delivery to Corporate Debtor. Application filed with malicious intent to settle family dispute, not for insolvency resolution. Appellate Tribunal affirmed rejection of application and imposition of penalty.
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