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TMI BlogProcess for initiation of corporate insolvency resolution process by operational creditor [ section 9 ]X X X X Extracts X X X X X X X X Extracts X X X X ..... cknowledgement due or by electronic mail service to a whole time director or designated partner or key managerial personnel, if any, of the corporate debtor. A copy of demand notice or invoice demanding payment served by an operational creditor shall also be filed with information utility, if any. Demand notice means a notice served by an operational creditor to the corporate debtor demanding payment of the operational debt in respect of which the default has occurred. The corporate debtor shall within a period of ten days of receipt of demand notice notify the operational creditor about the existence of a dispute, if any, or roof pendency of any suit or arbitration proceedings filed before receipt of such notice or invoice in rela ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2016 shall serve a copy of the application to the registered office of the corporate debtor and to the Board, by registered post or speed post or by hand or by electronic means, before filing with the Adjudicating Authority. Documents to be attached with the application [ Section 9(3) ] The operational creditor shall, along with the application furnish- (a) a copy of the invoice demanding payment or demand notice delivered by the operational creditor to the corporate debtor; (b) an affidavit to the effect that there is no notice given by the corporate debtor relating to a dispute of the unpaid operational debt; (c) a copy of the certificate from the financial institutions maintaining account ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ending against any resolution professional proposed under section 9(4), if any. (ii) Reject the application and communicate such decision to the operational creditor and the corporate debtor, if- (a) the application made under section 9(2) is incomplete; (b) there has been payment of the unpaid operational debt; (c) the creditor has not delivered the invoice or notice for payment to the corporate debtor; (d) notice of dispute has been received by the operational creditor or there is a record of dispute in the information utility; or (e) any disciplinary proceeding is pending against any proposed resolution professional: Provided that Adjudicating Authority, shall bef ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 11.2019 ]. CIRP is not a suit , a litigation or a money claim for any litigation and no one is selling or buying the CD a resolution plan . It is not an auction or a recovery or liquidation. It is a resolution process so that the CD does not default on dues. [ Excel Metal Processors Ltd. Vs. Benteler Trading International GMBH and Anr. NCLAT , dated 21.08.2019 ]. Once an application under sections 7 or 9 is filed, it is not necessary for the AA to await hearing of the parties for passing order of moratorium under section 14 of the Code. To ensure that one or other party may not abuse the process or for meeting the ends of justice, it is always open to the AA to pass appropriate interim order. [ NUI Pulp and Paper Industries ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... India Pvt. Ltd. Vs. Portrait Advertising Marketing Pvt. Ltd., NCLAT , dated 13.07.2017 ]. Section 16G (1)(c) of the Tea Act, 1953, relates to winding up, while section 9 of the Code is for initiation of CIRP to ensure revival and continuation of the CD. Therefore, these provisions occupy different fields. Accordingly, no permission of the Central Government is required for initiation of CIRP of the CD in terms of section 16G (1) of the Tea Act, 1953. [ A.J. Agrochem Vs. Duncans Industries Ltd., NCLAT , dated 20.06.2019 ] As the amount is due from the partnership firm, application under section 9 is not maintainable against one of the members of the partnership firm. [ Gammon India Ltd. Vs. Neelkanth Mansions Infrastructure P ..... X X X X Extracts X X X X X X X X Extracts X X X X
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