https://www.taxtmi.com/caselaws?id=410736 SC allowed the appeal, holding that an interest-free term loan advanced to a corporate person for working capital can qualify as a "financial debt" under Section 5(8) IBC and thus enable a creditor to initiate CIRP under Section 7 when default occurs. The Court directed that statutory definitions be read in context (including sections 3 and 5 and Chapters II-IIIA), that clause (f) and the illustrative scope of sub-clauses (a)-(i) expand the concept of financial debt, and that default (non-payment of a due liability) is the trigger for a financial creditor to file under Section 7. en-us Mon, 26 Jul 2021 00:00:00 +0530 Fri, 31 Oct 2025 14:32:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=410736 SC allowed the appeal, holding that an interest-free term loan advanced to a corporate person for working capital can qualify as a "financial debt" under Section 5(8) IBC and thus enable a creditor to initiate CIRP under Section 7 when default occurs. The Court directed that statutory definitions be read in context (including sections 3 and 5 and Chapters II-IIIA), that clause (f) and the illustrative scope of sub-clauses (a)-(i) expand the concept of financial debt, and that default (non-payment of a due liability) is the trigger for a financial creditor to file under Section 7. Case-Laws IBC Mon, 26 Jul 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=410736