https://www.taxtmi.com/caselaws?id=449226 NCLAT dismissed an appeal challenging NCLT's rejection of a section 7 application under IBC. The appellant had paid Rs. 1.25 crores to a company's ex-director for property purchase at Teen Batti, Mumbai, claiming it constituted financial debt. NCLAT held the transaction was for property acquisition, not a financial debt under IBC, as no liability or default was established. The property's development potential exceeded Rs. 15 crores, making the claimed consideration inadequate. The appellant failed to assert rights within the three-year limitation period for property contracts. The tribunal distinguished the case from Sanjay D. Kakade precedent, finding no written agreement evidencing financial debt. en-us Fri, 02 Feb 2024 00:00:00 +0530 Thu, 08 Feb 2024 06:00:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=449226 NCLAT dismissed an appeal challenging NCLT's rejection of a section 7 application under IBC. The appellant had paid Rs. 1.25 crores to a company's ex-director for property purchase at Teen Batti, Mumbai, claiming it constituted financial debt. NCLAT held the transaction was for property acquisition, not a financial debt under IBC, as no liability or default was established. The property's development potential exceeded Rs. 15 crores, making the claimed consideration inadequate. The appellant failed to assert rights within the three-year limitation period for property contracts. The tribunal distinguished the case from Sanjay D. Kakade precedent, finding no written agreement evidencing financial debt. Case-Laws Insolvency and Bankruptcy Fri, 02 Feb 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=449226