2020 (6) TMI 661

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....unal), Ahmedabad Bench, Ahmedabad in C.P. (I.B) No. 20/7/NCLT/AHM/2018. 2. Brief facts of this case are that Appellant (Financial Creditor) has filed the application against the Respondent (Corporate Debtor) under section 7 of the Insolvency & Bankruptcy Code, 2016 (in brief 'I&B Code') in March - April, 2018. Before filing of the application 'Financial Creditor' has served the notice under section 13 (2) of SARFAESI Act, 2002 dated 3-1-2017 on Corporate Debtor. During the pendency of the application before the Adjudicating Authority, Corporate Debtor has sent a proposal for One Time Settlement. However, the Financial Creditor was not agreed with the proposal and on the ground that the settlement is going on some hearing ....

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.... decided on 17-11-2017 in this case Hon'ble Madras High Court in identical facts held as under:- "48. Further contention of the petitioners that the action of the 2nd respondent in approaching the NCLT, would amount to forum shopping, also cannot be countenanced, for the reason, I&B code, 2016, has been enacted, consolidating various enactments, such as, Sick Industrial Companies (Special Provisions) Act, 1985; the Recovery of Debts Due to the Banks and Financial Institutions Act, 1993; the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002; Companies Act, 2003; Insolvency and Bankruptcy law and other laws. 49. As per Section 238 of the Insolvency and Bankruptcy Code, 2....

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....finding, it is evident that even if a claim is disputed and if the amount payable is more than Rs. 1 lakh, the application u/s 7 of the I&B Code is maintainable. Mere pendency of the case before the DRT for adjudicating of such disputed amount cannot be a ground to reject the application u/s 7 of the I&B Code, if the Adjudicating Authority is satisfied that there is a 'debt' and 'default' and the application is complete. On the other hand, in view of Section 14 all such proceedings in respect of any debt will remain stayed and cannot proceed during the period of moratorium." 8. This Tribunal in the case of Company Appeal (AT) (Ins) No. 323/2019 (Neeraj Jain Vs. Yes Bank Ltd. & Anr.) decided on 10-4-2019 held that Section ....