https://www.taxtmi.com/caselaws?id=386422 The Tribunal held that Respondents No. 3 to 11 were not financial creditors under the Insolvency and Bankruptcy Code. The debts created by them were considered unsecured loans, not financial debts. The transactions did not comply with Section 73 of the Companies Act, 2013, and were deemed void under the Indian Contract Act. The interest rates charged were found to be exorbitant, qualifying the transactions as extortionate credit transactions. Respondents were removed from the Committee of Creditors, and the Resolution Professional was instructed to reconstitute the CoC and continue with the Corporate Insolvency Resolution Process. en-us Tue, 09 Jul 2019 00:00:00 +0530 Sat, 28 Sep 2019 07:45:01 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=386422 The Tribunal held that Respondents No. 3 to 11 were not financial creditors under the Insolvency and Bankruptcy Code. The debts created by them were considered unsecured loans, not financial debts. The transactions did not comply with Section 73 of the Companies Act, 2013, and were deemed void under the Indian Contract Act. The interest rates charged were found to be exorbitant, qualifying the transactions as extortionate credit transactions. Respondents were removed from the Committee of Creditors, and the Resolution Professional was instructed to reconstitute the CoC and continue with the Corporate Insolvency Resolution Process. Case-Laws Insolvency and Bankruptcy Tue, 09 Jul 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=386422