https://www.taxtmi.com/highlights?id=79164 The decree from the Bombay High Court, based on dishonored bills of exchange and cheques, constitutes a financial debt under the IBC. The respondent qualifies as a financial creditor. While interest is not a necessary component for a debt to be considered financial, the threshold for initiating Section 7 proceedings exists even without interest. The appellant's arguments regarding the absence of an agreement and non-applicability of Section 5(8) are unsubstantiated. The procedural defects cited by the appellant do not significantly undermine the validity of the claim u/s 7. The appeal is dismissed. en-us Sat, 06 Jul 2024 07:50:41 +0530 Sat, 06 Jul 2024 07:50:41 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=79164 The decree from the Bombay High Court, based on dishonored bills of exchange and cheques, constitutes a financial debt under the IBC. The respondent qualifies as a financial creditor. While interest is not a necessary component for a debt to be considered financial, the threshold for initiating Section 7 proceedings exists even without interest. The appellant's arguments regarding the absence of an agreement and non-applicability of Section 5(8) are unsubstantiated. The procedural defects cited by the appellant do not significantly undermine the validity of the claim u/s 7. The appeal is dismissed. Highlights Insolvency and Bankruptcy Sat, 06 Jul 2024 07:50:41 +0530 https://www.taxtmi.com/highlights?id=79164