2018 (8) TMI 1971

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....cash credit facility to the Corporate Debtor. The term loan and cash credit facility was made to avail to the Corporate Debtor on the various dates from 14.01.2011 to 12.02.2013. The Corporate Debtor was bound by the terms of loan agreement. Although they avail the loan and cash credit facility, they did not repay the instalment in time and thereby committed the breach of term of loan agreement. Hence on 24.01.2015 the Financial Creditor issued notice under Section 13 (2) of the SARFAESI Act, 2002 the Corporate Debtor only called upon to clear their outstanding loan since they failed neglected to pay the loan, the Bank filed recovery of proceeding against them the Dept Recovery Tribunal, Kolkata. Notice of that proceeding was served on the ....

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....main absent during hearing and the Financial Creditor's statement that the Corporate Debtor committed default in paying debt is remained un-controverted on record. I accept the same. I hold that the Corporate Debtor is unable to pay the dept as above and hence Corporate Insolvency Resolution Process required to be started against them. I proceed to pass the following order: ORDER i) The application filed by the Financial Creditor under Section 7 of the Insolvency & Bankruptcy Code, 2016 is hereby admitted for initiating the Corporate Resolution Process against the Corporate Debtor, Enfield Apparels Ltd. is hereby admitted. (ii) The moratorium is declared for the purposes referred to in Section 14 of the Insolvency & Bankruptcy Code....

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....th any financial sector regulator. vi) The order of moratorium shall affect the date of admission till the completion of the Corporate Insolvency Resolution Process. vii) Provided that where at any time during the corporate insolvency resolution process period, if the Adjudicating Authority approves the resolution plan under sub-section (1) of Sec.31 or passes an order for liquidation of corporate debtor under Section 33, the moratorium shall cease to have effect from the date of such approval or liquidation order, as the case may be. viii) Necessary public announcement as per Sec.15 of the IBC, 2016 may be made by the resolution professional upon receipt of the copy of this order. ix) Mr. Kanchan Dutta, West Bengal from the current....