https://www.taxtmi.com/caselaws?id=769772 The NCLT New Delhi rejected a Section 9 application under IBC for initiation of CIRP against the corporate debtor. The tribunal held that the claimed debt did not qualify as "operational debt" under Section 5(21) of the Code as it failed to meet prerequisite conditions. Additionally, a pre-existing dispute existed between the operational creditor and corporate debtor regarding product quality prior to the demand notice under Section 8, which barred admission of the application. The petition was rejected for non-compliance with statutory requirements and due to the disputed nature of the debt. en-us Thu, 17 Apr 2025 00:00:00 +0530 Thu, 01 May 2025 16:28:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=769772 The NCLT New Delhi rejected a Section 9 application under IBC for initiation of CIRP against the corporate debtor. The tribunal held that the claimed debt did not qualify as "operational debt" under Section 5(21) of the Code as it failed to meet prerequisite conditions. Additionally, a pre-existing dispute existed between the operational creditor and corporate debtor regarding product quality prior to the demand notice under Section 8, which barred admission of the application. The petition was rejected for non-compliance with statutory requirements and due to the disputed nature of the debt. Case-Laws IBC Thu, 17 Apr 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=769772