2022 (4) TMI 16

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....or has come up with the present appeal. 2. We have heard the learned counsel for the appellant operational creditor; the learned counsel for the first respondent shareholder and Director of the corporatedebtor and the learned counsel for the second respondent Interim Resolution Professional. 3. The appellant herein filed an application under Section 9 of the Code on 20.04.2018 against M/S Arpita Filaments Private Limited, contending inter alia: that the corporate debtor started having business dealings with them from 2013; that they sold and delivered various fabrics to the corporate debtor; that the corporate debtor was irregular in making payments as per the bills; and that the demand notice issued by them under Section 8 of the Cod....

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....NCLAT further held that even if the date of default is taken to be 7.10.2013 as pleaded by the operational creditor, the acknowledgment of liability in terms of Section 18 of the Limitation Act ought to have happened on or before 07.10.2016. But the cheques were dated December 2017 and hence NCLAT reversed the decision of NCLT and dismissed the application of the operational creditor. 7. But we find from the order of NCLAT that there was no discussion at all about the letter dated 28.09.2015. According to the operational creditor, the six cheques in question were handed over along with the letter dated 28.09.2015. The cheque numbers and the bank on which the cheques were drawn, given in the letter dated 28.09.2015 tallied with the partic....

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....he NCLAT as the first appellate authority to look into a very vital aspect such as this, vitiates its order, especially when NCLT has recorded a specific finding of fact on this. 9. It is needless to point out that the law relating to the applicability of Section 18 of the Limitation Act, 1963 is fairly well settled. In Jignesh Shah and Another vs. Union of India and Another (2019) 10 SCC 750, this Court pointed out that when time begins to run, it can only be extended in the manner provided in the Limitation Act. For holding so this Court made a reference to Section 18 of the Limitation Act. Though in Babu Lal Vardharji Gurjar vs. Veer Gurjar Aluminium Industries Private Limited and Another (2020) 15 SCC 1, a two member Bench of this Co....