Tribunal Dismisses Insolvency Application for Delay; Upholds Strict Compliance with Limitation Period under IBC.

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....The Tribunal examined the maintainability of an application for initiating the Corporate Insolvency Resolution Process (CIRP) u/s 7 of the Insolvency and Bankruptcy Code (IBC). It addressed the issue of condonation of delay in filing the petition. The Operational Creditor (OC) claimed a bona fide belief that the petition was filed within the limitation period. However, the Tribunal held that Section 5 of the IBC applies to applications filed u/ss 7 or 9, and cited the Supreme Court's decision in B.K Educational Services Pvt. Ltd. Vs. Parag Gupta And Associates, which stated that the right to sue accrues when a default occurs, and if the default occurred over three years prior to the application filing, it would be barred under Article 137 o.........