https://www.taxtmi.com/caselaws?id=756703 NCLAT Principal Bench set aside the initiation of CIRP against the corporate debtor, finding that pre-existing disputes regarding operational debt precluded Section 9 proceedings. The tribunal held that the corporate debtor had raised plausible disputes within the statutory timeframe after receiving the demand notice, which were central to the claimed payments. The adjudicating authority erred in not properly evaluating these disputes' plausibility as required under Mobilox judgment. Since disputed operational debt cannot trigger CIRP proceedings, the corporate debtor was released from insolvency proceedings with immediate effect. en-us Tue, 06 Aug 2024 00:00:00 +0530 Wed, 07 Aug 2024 18:27:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=756703 NCLAT Principal Bench set aside the initiation of CIRP against the corporate debtor, finding that pre-existing disputes regarding operational debt precluded Section 9 proceedings. The tribunal held that the corporate debtor had raised plausible disputes within the statutory timeframe after receiving the demand notice, which were central to the claimed payments. The adjudicating authority erred in not properly evaluating these disputes' plausibility as required under Mobilox judgment. Since disputed operational debt cannot trigger CIRP proceedings, the corporate debtor was released from insolvency proceedings with immediate effect. Case-Laws Insolvency and Bankruptcy Tue, 06 Aug 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=756703