This appeal was filed by a suspended Director of Energy Properties Pvt. Ltd. against an order dated 20.03.2024 passed by the National Company Law Tribunal (NCLT), Kolkata Bench, which admitted a Section 7 application filed by Avani Towers Pvt. Ltd. Avani Towers claimed a financial debt of Rs. 10,90,72,565/-. The appellant contested the admission of the Section 7 application, arguing that the debt was not a financial debt under Section 5(8) of the Insolvency and Bankruptcy Code (IBC), 2016, and that no default had occurred. The core dispute revolves around a Development Agreement between Energy Properties and Avani Towers, where Avani Towers was to provide a refundable security deposit, part of which carried interest. The appellant argued that the respondent was
…Energy Properties Pvt. Ltd. (Corporate Debtor) owned land in Howrah. In 2008, it purchased assets from a sale conducted by UCO Bank under the SARFAESI Act. On 16.06.2008, Energy Properties entered into a Development Agreement with Avani Towers Pvt. Ltd. Avani Towers was required to provide a refundable Security Deposit of Rs. 12 Crores, with an option to add an extra Rs. 3 Crores. The initial Rs. 12 Crores would not accrue interest, but any additional deposit up to Rs. 3 Crores would bear interest at 18% compounded and payable quarterly. The repayment of the refundable Security Deposit was provided for in the Development Agreement. Two Memorandums of Agreement were executed in 2010, handing over possession to Avani Towers. Development could not be carried out. Avani
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Energy Properties Pvt. Ltd. purchased assets…
Energy Properties Pvt. Ltd. entered into a…
This appeal was filed by a suspended Director of Energy Properties Pvt. Ltd. against an order dated 20.03.2024 passed by the National Company Law Tribunal (NCLT), Kolkata Bench, which admitted a Section 7 application filed by Avani Towers Pvt. Ltd. Avani Towers claimed a financial debt of Rs. 10,90,72,565/-. The appellant contested the admission of the Section 7 application, arguing that the debt was not a financial debt under Section 5(8) of the Insolvency and Bankruptcy Code (IBC), 2016, and that no default had occurred. The core dispute revolves around a Development Agreement between Energy Properties and Avani Towers, where Avani Towers was to provide a refundable security deposit, part of which carried interest. The appellant argued that the respondent was
…Energy Properties Pvt. Ltd. (Corporate Debtor) owned land in Howrah. In 2008, it purchased assets from a sale conducted by UCO Bank under the SARFAESI Act. On 16.06.2008, Energy Properties entered into a Development Agreement with Avani Towers Pvt. Ltd. Avani Towers was required to provide a refundable Security Deposit of Rs. 12 Crores, with an option to add an extra Rs. 3 Crores. The initial Rs. 12 Crores would not accrue interest, but any additional deposit up to Rs. 3 Crores would bear interest at 18% compounded and payable quarterly. The repayment of the refundable Security Deposit was provided for in the Development Agreement. Two Memorandums of Agreement were executed in 2010, handing over possession to Avani Towers. Development could not be carried out. Avani
…Energy Properties Pvt. Ltd. purchased assets…
Energy Properties Pvt. Ltd. entered into a…