# In the matter of Dr. B.V.S. Lakshmi Vs. Geometrix Laser Solutions Private Limited CA(AT) No. 38-2017 > NCLAT judgment dated 2017-12-22. Citation: TCN-2017-NCLAT-00003. Dr. B.V.S. Lakshmi (Appellant) filed an application under Section 7 of the Insolvency and… - **Court:** NCLAT - **Order date:** 22 Dec 2017 - **Citation:** TCN-2017-NCLAT-00003 - **Category:** IBC - **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/dr-bvs-lakshmi-vs-geometrix-laser-solutions-private-limited-ca-9c94ef71 ## Summary ### Background Dr. B.V.S. Lakshmi (Appellant) filed an application under Section 7 of the Insolvency and Bankruptcy Code, 2016, claiming to be a 'Financial Creditor' against Geometrix Laser Solutions Private Limited (Respondent). The Adjudicating Authority (National Company Law Tribunal), Hyderabad Bench, rejected the application, holding that the Appellant did not qualify as a 'Financial Creditor' and failed to satisfy the requirements of Section 7 of the I&B Code. The Appellant then appealed to the National Company Law Appellate Tribunal (NCLAT). The Appellant claimed to have advanced loans totaling Rs. 91,47,864/- to the Respondent in fifty-two transactions between April 26, 2013, and March 9, 2015, for repaying bank loans and ensuring payment of salaries. The Appellant … ## Facts Dr. B.V.S. Lakshmi, the Appellant, claimed to be a 'Financial Creditor' of Geometrix Laser Solutions Private Limited, the Respondent. The Appellant stated that loans totaling Rs. 91,47,864/- were advanced to the Respondent in fifty-two transactions between April 26, 2013, and March 9, 2015. These loans were intended to repay bank loans and ensure payment of salaries to prevent default and maintain business continuity. Although the loan terms were not recorded in writing, the Appellant asserted that the money advanced would carry interest, supported by an email from the Managing Director of the Respondent and the auditor's report dated August 31, 2016. The Appellant issued a repayment notice on September 7, 2016, but the Respondent claimed the money had been repaid or … ## Issues and analysis ### Issue 1: Whether the Appellant qualifies as a 'Financial Creditor' under Section 5(7) and 5(8) of the … **Ratio:** To qualify as a 'Financial Creditor', the claimant must demonstrate that there is a debt … **Reasoning:** The court relied on the definition of 'Financial Debt' under Section 5(8) of the I&B … **Interpretation:** The term 'Financial Creditor' is defined as a person to whom a financial debt … **Application:** In this case, the Appellant failed to bring on record any evidence to suggest … ## Parties - **Judges:** S.J. Mukhop…; A.I.S. C…; +1 more - **Appellants:** B.V.S. La… - **Respondents:** Geometrix Laser… ## Timeline - **2017-03-13 — Order by Adjudicating…**: The Adjudicating Authority (National Company Law Tribunal), Hyderabad Bench, passed an… - **2016-09-07 — Repayment…**: The Appellant issued a notice for repayment… ## Legal provisions - [Insolvency and Bankruptcy Code, 2016, Section 7 — Initiation of corporate insolvency resolution…](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-7) --- 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/dr-bvs-lakshmi-vs-geometrix-laser-solutions-private-limited-ca-9c94ef71