M/s. Incredible Unique Buildcon Pvt. Ltd. Vs. M/s. Clutch Auto Ltd. [IB-20 (PB)/2017] - Synopsis
Team SoOLEGAL 12 May 2021

In this case, M/s. Incredible Unique Buildcon Pvt. Ltd. Vs. M/s. Clutch Auto Ltd. [IB-20 (PB)/2017],  the corporate debtor company has continued being in default for the past three years and more. The list of operational creditors has 293 names and an amount of Rs. 12,88,32266 to be given to them by the corporate debtor. The petitioner had mentioned the full details of the property against which the loan was taken and it was totally or partially secured and it also has mention of the date of it built and the estimated value etc. The Tribunal was presented with a copy of the final audited financial statements of the corporate debtors, other relevant documents, as well as the reference that was filed before the BIFR, along with the order of admission that was passed in 2014.
A reading of Section 10 reveals that a corporate debtor may file such an application for the purpose of initiating the insolvency resolution process if it has committed a default. A look at the paper book reveals that books of accounts and other supporting documentation have been filed. The petitioner itself had admitted default. As a result, the Tribunal granted the Petition and appointed the Insolvency Resolution Professional. The Tribunal had dismissed the operational creditor's application under Section 9 of the Insolvency Bankruptcy Code, 2016, noting that the "operational creditor" may file its claim with the Insolvency Resolution Professional. 

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