TaxTMI 
TaxTMI 
2018 (12) TMI 1669
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....btor under section 9 of I&B Code but when it was brought to the notice of the applicant, they could be Financial Creditor and not the Operational Creditor, the amendments were made in the main petition converting the same under section 7 of the l&B Code. 2. Financial Creditor is an NBFC company. It gives the loans to its clients. It is stated that during the period in between April, 2001 to July, 2001 the Financial Creditor lent a sum of Rs. 13 lakhs to the Corporate Debtor on 30.03.2002. The Corporate Debtor repaid a sum of Rs. 1,36,294/-. Thereafter, on 01.04.2002, the Corporate Debtor gave the Financial Creditor equity shares of 60,000 for total consideration of Rs. 12 lakhs towards principal and interest. The amount was accordingly a....
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....cation is not maintainable. 5. I heard the Ld. Counsel for the Financial Creditor and the Ld. Pr.CA for the Corporate Debtor at length. Ld. Counsel for the Financial Creditor pointed out that although the loan was advanced in the year 2004 but it was not repaid in time. The Corporate Debtor in their financial statement for the period ending March, 2015 have admitted this debt. This petition is filed within three years thereafter and it is within time. 6. Ld. Counsel for the Financial Creditor further submitted that there is no dispute to the fact that loan of Rs. 24 lakhs was advanced and further advances were also given to the Corporate Debtor. Since the Corporate Debtor did not repay the loan as agreed, this CIRP is filed. 7. Ld.....
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....roceedings pending against the proposed resolution professional, if may, by order, admit such application; or (b) default has not occurred or the application under sub-section (2) is incomplete or any disciplinary proceeding is pending against the proposed resolution professional, it may, by order, reject such application." 11. In this case, the Financial Creditor produced on record the statement of loan account of the Corporate Debtor maintained by them. A perusal of them proves that the loan was given to the Corporate Debtor and it has not been repaid. In fact, there is no dispute about this fact. It is the only say of the Corporate Debtor that since no interest is liable to be paid on the amount, it cannot be termed as the financial d....
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....ontention of the Corporate Debtor that as the Financial Creditor did not suggest name of any IRP, the application is not maintainable. Section 7(3)(b) of the I&B Code requires the Financial Creditor to suggest the name of the I.R.P. but in my considered opinion, the application cannot be rejected on this ground. What this authority has to see whether any disciplinary proceeding is pending against the IRP or not. In this case, since name of IRP itself has not been suggested, there is no question of considering the fact whether any disciplinary proceeding is pending. It appears to me that initially the application was filed under section 9 of I&B Code. Under section 9, it is not required for the Operational Creditor to suggest the name of IRP....
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.... or proceedings against the corporate debtor including execution of any judgement, decree or order in any court of law, tribunal, arbitration panel or other authority; (b) Transferring, encumbering, alienating or disposing of by the corporate debtor any of its assets or any legal right or beneficial interest therein; (c) Any action to foreclose, recover or enforce any security interest created by the corporate debtor in respect of its property including any action under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (54 of 2002); (d) The recovery of any property by an owner or lessor where such property is occupied by or in possession of the corporate debto....