https://www.taxtmi.com/caselaws?id=431256 An application under Section 7 of the Insolvency and Bankruptcy Code cannot be admitted unless the financial creditor proves, with reliable documentary evidence, both a subsisting financial debt and default. On the facts, alleged unsecured loans shown in earlier balance sheets were displaced by a later memorandum of understanding settling the consideration and liabilities arising from the transfer of the corporate debtor; the audited accounts and correspondence indicated that the claimed dues had been adjusted and no amount remained payable. The appellant also failed to produce contemporaneous proof of disbursal, agreed interest, payment mode, or any reliable record of default after settlement. The refusal to admit the insolvency application was therefore upheld. en-us Thu, 08 Dec 2022 00:00:00 +0530 Fri, 09 Dec 2022 10:00:03 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=431256 An application under Section 7 of the Insolvency and Bankruptcy Code cannot be admitted unless the financial creditor proves, with reliable documentary evidence, both a subsisting financial debt and default. On the facts, alleged unsecured loans shown in earlier balance sheets were displaced by a later memorandum of understanding settling the consideration and liabilities arising from the transfer of the corporate debtor; the audited accounts and correspondence indicated that the claimed dues had been adjusted and no amount remained payable. The appellant also failed to produce contemporaneous proof of disbursal, agreed interest, payment mode, or any reliable record of default after settlement. The refusal to admit the insolvency application was therefore upheld. Case-Laws Insolvency and Bankruptcy Thu, 08 Dec 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=431256