9911796707
TMI Blog2025 (4) TMI 515X X X X Extracts X X X X X X X X Extracts X X X X ..... iled under Section 9 of the Insolvency and Bankruptcy Code, 2016 (in short 'Code') by the Appellant/Operational Creditor for the resolution of Rs. 1,41,57,817/- which included interest @ 18% p.a from the due date, has been dismissed, inter alia, on the ground that the application filed under Section 9 was beyond the period of limitation and below the threshold of Rs. 1 Cr. excluding the amount of interest. 2. As per the Appellant, the goods, namely, polyester staple fiber was supplied to the CD on different occasion against the invoices issued from 20.01.2018 to 07.02.2018. 3. As per ledger account of the Respondent/CD maintained in the books of the Appellant, payment by the Respondent was made from time to time and the last payment was r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e IRP was acknowledged on 14.02.2022 giving rise to a fresh period of limitation in terms of Section 18 of the Limitation Act, 1993 because the Hon'ble Supreme Court, vide its order dated 10.01.2022, has excluded the period from 15.03.2020 till 28.02.2022 for the purposes of limitation, as may be prescribed, under any general or special laws in respect of all judicial or quasi judicial proceedings. It is alleged that the balance period of limitation remaining as on 03.10.2021, if any, became available w.e.f. 01.03.2022. 10. It is further alleged that in cases where the limitation would have expired during the period between 15.03.2020 till 20.02.2022, notwithstanding the actual balance period of limitation remaining, all persons shall have ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f limitation and that the petition is being hit by Section 4 of the Code. 16. We will first take up the issue of threshold because if the threshold is not crossed by the Appellant then the petition shall not be maintainable. In this regard, Section 4 of the Code needs to be noticed which is reproduced as under:- "Section 4: Application of this Part. *4. (1) This Part shall apply to matters relating to the insolvency and liquidation of corporate debtors where the minimum amount of the default is one lakh rupees: Provided that the Central Government may, by notification1, specify the minimum amount of default of higher value which shall not be more than one crore rupees. 2[Provided further that the Central Government may, by notif ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n under Section 9 of the I&B Code. Even after receiving the total amount due, the Appellant pursued the application under Section 9 of the I&B Code for a sum of Rs.2,16,155/- towards interest. In these background, the Adjudicating Authority observed that in the absence of any Agreement, no such amount can be claimed. 4. The Learned Counsel for the Appellant relied on 'Invoices' to suggest that in the 'Invoices', the claim was raised for payment of interest. However, we are not inclined to accept such submission as they were one side Invoices raised without any consent of the 'Corporate Debtor'. 5. Admittedly, before the admission of an application under Section 9 of the I&B Code, the 'Corporate Debtor' paid the total debt. The applica ..... X X X X Extracts X X X X X X X X Extracts X X X X
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