Financial Creditor's Section 7 Application Dismissed: Balance Sheet Signing Date Controls Limitation Period, Not MCA Upload Date

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....The NCLAT dismissed a Section 7 application by a Financial Creditor as time-barred. While acknowledging that balance sheet entries can extend limitation periods under Section 18 of the Limitation Act, the Tribunal held that the relevant balance sheet was signed on 12.08.2020, making the petition filed on 15.01.2024 clearly time-barred. The Tribunal rejected the appellant's contention that limitation should be calculated from the date of uploading the balance sheet on the MCA portal (14.02.2021) rather than its signing date. The NCLAT affirmed that for acknowledgment of debt in a balance sheet to extend limitation, the material date is when the document is signed, as this constitutes the conscious admission of liability required under Section 18, not when it is subsequently uploaded.....