https://www.taxtmi.com/caselaws?id=762066 Prior initiation of SARFAESI recovery steps does not, by itself, prove that a section 10 insolvency application was filed fraudulently or with malicious intent under section 65 of the Insolvency and Bankruptcy Code. The record showed disclosure of financial debt, default, and inability to pay, and no independent material established that the application was filed for any purpose other than insolvency resolution. On that basis, invocation of section 65 was unjustified, the rejection of the section 10 application and the penalty could not be sustained, and the insolvency application was restored for fresh consideration on merits. en-us Thu, 21 Nov 2024 00:00:00 +0530 Fri, 22 Nov 2024 17:50:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=762066 Prior initiation of SARFAESI recovery steps does not, by itself, prove that a section 10 insolvency application was filed fraudulently or with malicious intent under section 65 of the Insolvency and Bankruptcy Code. The record showed disclosure of financial debt, default, and inability to pay, and no independent material established that the application was filed for any purpose other than insolvency resolution. On that basis, invocation of section 65 was unjustified, the rejection of the section 10 application and the penalty could not be sustained, and the insolvency application was restored for fresh consideration on merits. Case-Laws IBC Thu, 21 Nov 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=762066