2020 (1) TMI 106

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..... 2. Learned counsel appearing on behalf of the Appellant/ Shareholder submitted that the application under Section 7 was barred by limitation. 3. It was submitted that the loan was availed by the 'Corporate Debtor' on 20th August, 2010 from the 'Financial Creditor'. Subsequently, notice issued under Section 13(2) of the SARFAESI Act, 2002, but no action was taken against the 'Corporate Debtor'. 4. It was submitted that on invocation of provisions of the 'I&B Code', the 'Corporate Debtor' had no option but to provide confirmation of debt on 5th March, 2018. It was submitted that the said Agreement executed by the 'Corporate Debtor' was in violation of Section 25 of the Indian Contract Act. 5. Reliance has been placed on the decision of the Hon'ble Supreme Court in "Gaurav Hargovindbhai Dave v. Asset Reconstruction Company (India) Ltd. & Anr. − Civil Appeal No. 4952 of 2019" to suggest that the application is barred by limitation. 6. Learned counsel for the Respondents submitted that the application under Section 7 is not barred by limitation for the following reasons: (i) The 'Corporate Debtor' have acknowledged the debt vide letters dated 17th March, ....

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....wledgment of liability and extension of contract. 7. Counsel for the Respondents also placed reliance on Section 18 of the Limitation Act to suggest that the Application is not barred by limitation as the limitation starts from the date of acknowledgement, which reads as follows: "18. Effect of acknowledgment in writing.- (1) Where, before the expiration of the prescribed period for a suit of application in respect of any property or right, an acknowledgment of liability in respect of such property or right has been made in writing signed by the party against whom such property or right is claimed, or by any person through whom he derives his title or liability, a fresh period of limitation shall be computed from the time when the acknowledgment was so signed. (2) Where the writing containing the acknowledgment is undated, oral evidence may be given of the time when it was signed; but subject to the provisions of the Indian Evidence Act, 1872 (1 of 1872), oral evidence of its contents shall not be received. Explanation.-For the purposes of this section,- (a) an acknowledgment may be sufficient though it omits to specify the exact nature of the....

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....¿, 1. तारीख बैंक ऑफ़ इंडिया मैं / हम एतद्द्वारा उपर बताये अनुसार रु. 20 To. की राशि के लिए पर मेरी / हमारी ऋणग्रस्तता अभिस्वीकार करता हूँ / करती हूँ / करते हैं और इसकी पुष्टि करता हूँ / करती हूँ / करते हैं और पुनः अभिस्वीकार करता हूँ / करती हूँ....

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....¤¤à¤°à¥à¤—त मेरी / हमारी देयता के रूप में निष्पादित की गई हैं। 2. I/We hereby confirm that this acknowledgement is executed as an acknowledgement of my/our liability for the purpose of section 18 of the Limitation Act, 1963. For Sainath Estates (P) Ltd. स्टाम्प Director For S P) Ltd. Stamp Director ta स्टाम्प स्टाम्प A Ture Ta आफ / Bank Assel 0/- Stamp Stamp 1. मैं / हम गारंटीकर्ता पूर्वोक्त पुष्टि और अभिस्वीकार से सहमत हूँ / हैं और घोषण करतà¤....