# In the matter of Athena Demwe Power Ltd.
Vs.  Abir Infrastructure Private Limited & Anr. Company Appeal (AT) (Insolvency) No.158 of 2022

> NCLAT judgment dated 2022-08-17. Citation: TCN-2022-NCLAT-00283. The case involves an appeal against an order by the National Company Law Tribunal (NCLT), New…

- **Court:** NCLAT
- **Order date:** 17 Aug 2022
- **Citation:** TCN-2022-NCLAT-00283
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/athena-demwe-power-ltd-vs-abir-infrastructure-private-limited-anr-company-appeal-8f4ae86b

## Summary

### Background

The case involves an appeal against an order by the National Company Law Tribunal (NCLT), New Delhi, which rejected I.A. No. 3197/ND/2020 filed by the Appellant, Athena Demwe Power Ltd. The Appellant had awarded a contract to the Corporate Debtor, Abir Infrastructure Private Limited, for the execution of a hydroelectric project. A mobilization advance of Rs. 7,48,40,06,136/- was transferred by the Appellant to the Corporate Debtor. Subsequently, the Corporate Debtor issued a Corporate Guarantee in favor of the Appellant, which was later extended. The Adjudicating Authority initiated Corporate Insolvency Resolution Process (CIRP) against the Corporate Debtor. The Appellant filed a claim as a Financial Creditor, which was initially accepted by the Resolution Professional

…

## Facts

Athena Demwe Power Ltd. (Appellant) awarded a contract to Abir Infrastructure Private Limited (Corporate Debtor) for a 1750 MW hydroelectric project in Arunachal Pradesh on December 24, 2010. The Appellant transferred Rs. 7,48,40,06,136/- as a mobilization advance to the Corporate Debtor via bank transfer. On February 14, 2011, the Corporate Debtor issued a Corporate Guarantee in favor of the Appellant, which was extended until November 23, 2021. The Adjudicating Authority initiated Corporate Insolvency Resolution Process (CIRP) against the Corporate Debtor. The Appellant filed a claim for Rs. 1784,99,28,651/- as a Financial Creditor on April 26, 2019. The Resolution Professional (RP) informed the Appellant that its claim did not qualify as a Financial Creditor but as

…

## Issues and analysis

### Issue 1: Whether the mobilization advance given by the Appellant to the Corporate Debtor is a Financial Debt …

**Ratio:** A 'financial debt' means a debt along with interest, if any, which is disbursed against

…

**Reasoning:** The court reasoned that the mobilization advance was not disbursed against the

…

**Interpretation:** Section 5(8) of the IBC defines 'financial debt' and specifies the conditions

…

**Application:** In this case, the mobilization advance was for the mobilization of material and

…

## Parties

- **Judges:** Ashok Bh…; M. Satyanarayana…; +1 more
- **Appellants:** Athena Demwe…
- **Respondents:** Abir Infrastructur…

## Timeline

- **2010-12-24 — Contract A…**: Appellant awarded a contract to Corporate…
- **2011-02-14 — Corporate Guarantee…**: Corporate Debtor issued a Corporate…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 5(8) — Definitions](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-5)

---

This is a preview. The full structured summary, issues, precedents and source judgment are available on CaseEase - Legal Intelligence Simplified: https://caseease.in/cases/ibc/nclat-new-delhi/athena-demwe-power-ltd-vs-abir-infrastructure-private-limited-anr-company-appeal-8f4ae86b