https://www.taxtmi.com/caselaws?id=754973 The NCLAT dismissed an appeal challenging rejection of a Section 9 application under IBC. The operational creditor's claim fell short of the Rs. 1 crore threshold as the corporate debtor disputed interest liability. The NCLAT held that disputed interest amounts cannot be clubbed with principal debt to meet threshold requirements. Despite the appellant citing Prasat Agarwal case where stipulated invoice interest was allowed, the tribunal distinguished this case noting the corporate debtor had categorically contested and denied interest liability in both Section 8 notice reply and Section 9 application response. The disputed interest claim required adjudication by competent court, not CIRP initiation. en-us Tue, 02 Jul 2024 00:00:00 +0530 Wed, 03 Jul 2024 11:14:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=754973 The NCLAT dismissed an appeal challenging rejection of a Section 9 application under IBC. The operational creditor's claim fell short of the Rs. 1 crore threshold as the corporate debtor disputed interest liability. The NCLAT held that disputed interest amounts cannot be clubbed with principal debt to meet threshold requirements. Despite the appellant citing Prasat Agarwal case where stipulated invoice interest was allowed, the tribunal distinguished this case noting the corporate debtor had categorically contested and denied interest liability in both Section 8 notice reply and Section 9 application response. The disputed interest claim required adjudication by competent court, not CIRP initiation. Case-Laws Insolvency and Bankruptcy Tue, 02 Jul 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=754973