https://www.taxtmi.com/caselaws?id=403019 The Tribunal upheld the Resolution Professional's rejection of the Applicant's claim as a financial debt, deeming the conversion of operational debt into financial debt a preferential transaction under Section 43 of the Insolvency and Bankruptcy Code. The Tribunal dismissed the Applicant's plea, highlighting the improper elevation of the Applicant's status and the transaction's intent to unduly benefit the Applicant. Despite the RP not filing an application under Section 43 for avoidance of the transaction, the Tribunal independently treated the transaction as preferential. en-us Thu, 07 Jan 2021 00:00:00 +0530 Mon, 18 Jan 2021 13:11:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=403019 The Tribunal upheld the Resolution Professional's rejection of the Applicant's claim as a financial debt, deeming the conversion of operational debt into financial debt a preferential transaction under Section 43 of the Insolvency and Bankruptcy Code. The Tribunal dismissed the Applicant's plea, highlighting the improper elevation of the Applicant's status and the transaction's intent to unduly benefit the Applicant. Despite the RP not filing an application under Section 43 for avoidance of the transaction, the Tribunal independently treated the transaction as preferential. Case-Laws Insolvency and Bankruptcy Thu, 07 Jan 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=403019