# in the matter of Agroh Infrastructure Developers Pvt. Ltd. Vs Narmada Construction (Indore) P Ltd. CA (AT) No. 57-2017

> NCLAT judgment dated 2017-06-02. Citation: TCN-2017-NCLAT-00164. The case involves an appeal against an order passed by the Adjudicating Authority (National…

- **Court:** NCLAT
- **Order date:** 2 Jun 2017
- **Citation:** TCN-2017-NCLAT-00164
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/agroh-infrastructure-developers-pvt-ltd-vs-narmada-construction-8c46a6e5

## Summary

### Background

The case involves an appeal against an order passed by the Adjudicating Authority (National Company Law Tribunal, Ahmedabad Bench) which admitted an application preferred by the respondent, an operational creditor, under Section 9 of the Insolvency & Bankruptcy Code, 2016. The appellant, Agroh Infrastructure Developers Pvt Ltd, challenged the order, arguing that the operational creditor did not issue a notice under Section 8 of the I&B Code and that the Adjudicating Authority admitted the application without proper notice to the appellant, violating the principles of natural justice.

## Facts

Agroh Infrastructure Developers Pvt Ltd (the appellant) appealed against an order by the Adjudicating Authority (NCLT, Ahmedabad Bench) that admitted an application by Narmada Construction (Indore) P Ltd (the respondent), an operational creditor, under Section 9 of the Insolvency & Bankruptcy Code, 2016. The appellant argued that the operational creditor did not issue a notice under Section 8 of the I&B Code. The appellant also claimed that the Adjudicating Authority admitted the application without providing notice to the appellant, violating the principles of natural justice. The demand notice under Section 8 was issued on April 4, 2017, and the postal department's track record indicated service on the appellant on April 8, 2017. The Adjudicating Authority's

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## Issues and analysis

### Issue 1: Whether the Adjudicating Authority erred in admitting the application under Section 9 of the …

**Ratio:** The principles of natural justice require that a party be given a fair opportunity to be

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**Reasoning:** The court found that the Adjudicating Authority had not issued a notice to the appellant

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**Interpretation:** The interpretation of natural justice principles requires that all parties

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**Application:** In this case, the Adjudicating Authority's failure to provide notice to the

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## Parties

- **Judges:** S.J. Mukhop…; Balvinder…
- **Respondents:** Agroh Infrastructu…; Narmada Constructi…

## Timeline

- **2017-04-04 — Demand Notice…**: Operational creditor issued demand…
- **2017-04-08 — Demand Notice…**: Demand notice served on the…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 9 — Application for initiation of corporate insolvency…](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-9)

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