https://www.taxtmi.com/caselaws?id=791968 An advance made by a director to a corporate debtor was reflected in the company's books as long-term borrowings, and correspondence suggested funds were infused by promoters and directors for working capital in proportion to shareholding. However, other material, including references to a share purchase arrangement and a gift deed relating to recovery of the amount, left the true character of the transaction unclear. On that basis, the existing record was insufficient to conclusively determine whether the amount constituted financial debt under the Insolvency and Bankruptcy Code, and the matter required remand for a fuller merits-based examination of the transaction's nature. en-us Tue, 19 May 2026 00:00:00 +0530 Thu, 21 May 2026 08:30:18 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=791968 An advance made by a director to a corporate debtor was reflected in the company's books as long-term borrowings, and correspondence suggested funds were infused by promoters and directors for working capital in proportion to shareholding. However, other material, including references to a share purchase arrangement and a gift deed relating to recovery of the amount, left the true character of the transaction unclear. On that basis, the existing record was insufficient to conclusively determine whether the amount constituted financial debt under the Insolvency and Bankruptcy Code, and the matter required remand for a fuller merits-based examination of the transaction's nature. Case-Laws IBC Tue, 19 May 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=791968