TaxTMI 
TaxTMI 
2017 (2) TMI 1391
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....claimed that when Respondent No. I company approached it to avail temporary unsecured loan on account of its great financial difficulty. The petitioner advanced to it a loan of Rs. 15 rores. The Respondent No. 1 Company which is stated to be a 'Financial Debtor' had assured the petitioner that the loan would be repaid within 6 months. Accordingly the petitioner disbursed to the respondents an unsecured loan of Rs. 15 crores @12% interest per annum which is much lower than the prevailing rate of interest in the market. It has been asserted by the petitioner that the loan was extended without even executing any formal agreement which was spread over a period of four months. The details of the disbursement is given in a table which rea....
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....f account has also been placed on record. According to the averment made in the petition the loan amount of 15 crores and the accrued interest at the rate of 12 % has been duly admitted, acknowledged and confirmed by the Respondent No. I-Company through communication for confirmation of account dated I .4.2016 for the financial year 2015-2016. The aforesaid confirmation was delivered to the petitioner by the Respondent No. 1 Company after affixing its stamp and signature of one Mr. Neeraj Sharma. A copy of the same has been placed on record (P-9).The interest amount due from 31.3.2016 to 31.1.2017 has also been calculated and placed on record (p10).Thus the petitioner claims that Respondent No. I-Company is in default of total amount of and....
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....ey were expecting disbursement of substantial amount of loan from its banker and then on such disbursement all outstanding debt was to be cleared. It has been found by the Petitioner that the Respondent I Company has availed fresh term loan of Rs. 160 crores in Sept 2015 through enhancement of financial facilities already availed by it from a consortium of bankers having IDBI Ltd as a lead banker. The financial facilities have been availed by the Respondent No. I Company by creation of charge over two of its immovable properties. 6. Mr. U.K Chaudhary and Mr. Kathpalia learned senior counsel for the petitioner have vehemently argued that insolvency process must be initiated against Respondent No. I Company as it has defaulted in making th....
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....e we are prima-facie of the view that the petitioner is a financial creditor and the respondent is a 'Financial Debtor'. In that regard we are fortified by the observations made by this Bench in paras 11 & 12 of the judgment rendered in the case of Nikhil Mehta (supra) which reads as under: "11. From a bare perusal of Section 7 of the IBC, it is patent that the insolvency process can be triggered by a "Financial Creditor' individually or jointly against a corporate debtor when default has occurred. The first question arises for consideration is as to who a 'Financial Creditor'. In order to ascertain the meaning of the expression we have to examine its definition as provided by Section 5 which is application to P....
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....cial debt' which are usually for a sum of money received today to be paid for over a period of time in a single or series of payments in future. It may also be a sum of money invested today to be repaid over a period of time in a single or series of instalments to be paid in future. In Black's Law Dictionary (9th edition) the expression Time Value 'has been defined to mean "the price associated with the length of time that an investor must wait until an investment matures or the related income is eamed." In both the cases, the inflow and outflows are distanced by time and there is a compensation for time value of money. It is significant to notice that in order to satisfy the requirement of this provision, the financial transact....
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....ppreciate that the confirmation of accounts on 1.4.2016 by one Mr. Neeraj Sharma under the seal of R-I Company is liable to be ignored on the ground that he was not authorised to issue such certificate. The defence of the Respondent No. 1 Company is wholly illusory and we have no hesitation to reject the same. 11. For the reason stated above this petition is admitted 12. As a Sequel to the above discussion the following directions are issued pending the completion of Insolvency Resolution Process:- a) The petition is admitted. b) Mr. Sanjay Grover, Company Secretary as named by the petitioners, is appointed as an interim Insolvency Resolution Professional to conduct the corporate insolvency process and manage the ope....