2025 (12) TMI 374

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..... Kavya Tekriwal, Ms. Varsha Mohanty, Advocates. ORDER These two Company Appeals have been field by the Operational Creditor challenging order 10.07.2025 passed by the Adjudicating Authority (National Company Law Tribunal) (Court-II), New Delhi by which order Restoration Application No.56/ND/2025 and Restoration Application No.55/ND/2025 has been rejected. The proceeding under Section 7 were initiated by the Financial Creditors against the same Corporate Debtor claiming amount in Part IV of the application. It is sufficient to refer to Company Appeal (AT) (Ins.) No.1407 of 2025 for deciding the issues between the parties. 2. Section 7 application was heard and the Adjudicating Authority noticing the fact that amount claimed in Part....

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....nding is payable by the Applicant. As has been noted hereinabove, this Tribunal cannot be expected to act as Debt Recovery Tribunal. Such is the spirit of the judgement of Hon'ble Supreme Court in Mobilox Innovations Private Limited vs. Kirusa Software Private Limited and The Transport Corporation of India Ltd. vs. State of Andhra Pradesh & Ors. etc. The submissions regarding interest were recorded in the order dated 25.02.2025. The order reads thus: "Mr. Dhawan could draw our attention to order dated 20.12.2024 and 22.01.2025. Mr. P. Nagesh, Ld. Counsel for the Applicant submitted that the amount of TDS Rs. 16,26,321/-is not reflected in the relevant account of the Creditor. To meet the submission raised on behalf of the Appli....

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.... hence, a Draft was given. Acknowledgment of receipt was issued by the Financial Creditor on 03.05.2025. Restoration Application came for consideration, the Adjudicating Authority had taken the view that since there is acknowledgement with regard to pendente lite interest also no grounds have been made out for restoration of Section 7 application and the Restoration Application was rejected. Aggrieved by order dated 10.07.2025 rejecting Restoration Application, this Appeal has been filed. 4. Shri P. Nagesh, Sr. Advocate appearing for the Appellant submits that the Corporate Debtor having agreed to pay the pendente lite interest, has paid only Rs. 46 Lakhs rather the entire interest amount was amount more than Rs. 1 Crore. He submits that....

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....mmercial Finance Limited vs. Darode Jog Builder Pvt. Ltd., where this Tribunal in Para 14 laid down following: "14. In event, in consequence of the Order of the Adjudicating Authority, the Corporate Debtor deposits the entire defaulted amount whether still the Adjudicating Authority was required to necessarily admit the Section 7 Application. The answer would be obviously no. When the Corporate Debtor has complied to deposit the entire defaulted amount of the Financial Creditor as permitted by the Adjudicating Authority, no purpose and occasion shall survive to still proceed with the Insolvency Resolution of the Corporate Debtor. The proceeding under Section 7 are proceeding for resolution of the insolvency of the Corporate Debtor.....