The appellant wrongly relied upon the Amanjyot Singh case and ...

Limitation period for Section 95 application extended due to COVID-19; balance sheet as debt acknowledgement.

Case Laws IBC

October 11, 2024

The appellant wrongly relied upon the Amanjyot Singh case and changed stance during final arguments, having earlier contended the 26.05.2016 notice invoked personal guarantee. The Amanjyot Singh case involved Section 13(2) notice to corporate debtor and guarantors jointly by Punjab and Sind Bank on 04.10.2023. Section 18 provides for acknowledgement in writing, and the balance sheet indicating liability is such acknowledgement. The balance sheet signed by appellants on 01.09.2017 indicates debt from that date as per Supreme Court's Asset Reconstruction Company case. Counting limitation from 26.05.2016 to 01.09.2017, three years would restart from 01.09.2017 and end on 31.08.2020, which fell during COVID-19 period extended by Supreme Court till 01.03.2022 plus 90 days. Hence, the 02.12.2021 Section 95 application by Respondent 1 was within limitation. The appeals lack merit and are dismissed.

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The appellant wrongly relied upon the Amanjyot Singh case and ...

Limitation period for Section 95 application extended due to COVID-19; balance sheet as debt acknowledgement.

Case Laws IBC

October 11, 2024

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