The appeal was filed against an order dated 02.05.2023, where the appellant was categorized as an unsecured creditor instead of a secured creditor. The appellant argued that a loan agreement dated 29.10.2015, granted a loan of Rs. 11 crores to the Corporate Debtor, secured by four flats, should qualify them as a secured creditor. The Corporate Debtor failed to repay the principal amount, and the cheques were dishonored. The RP admitted the appellant's claim as a home buyer for four flats allotted in lieu of interest but classified the appellant as an unsecured creditor for the principal amount.
Home Kraft Avenues (Appellant) granted a loan of Rs. 11 crores to Ornate Spaces R/t Ltd (Corporate Debtor) on 29.10.2015. The loan was initially payable after three years, with extensions granted later. The agreement provided two options for interest payment: 18% interest or transfer of four flats (No. 1501, 1502, 1504, 1601) to the Appellant. A clause stipulated that if the Corporate Debtor failed to pay the principal, four additional apartments (No. 1901, 1902, 1904, 2001) would be transferred. The Corporate Debtor defaulted on the principal amount, and the cheques were dishonored. On 29.06.2020, CIRP was initiated against the Corporate Debtor. The Appellant filed two claims: one for Rs. 11 crores as a secured financial creditor and another as the holder of four
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The appeal was filed against an order dated 02.05.2023, where the appellant was categorized as an unsecured creditor instead of a secured creditor. The appellant argued that a loan agreement dated 29.10.2015, granted a loan of Rs. 11 crores to the Corporate Debtor, secured by four flats, should qualify them as a secured creditor. The Corporate Debtor failed to repay the principal amount, and the cheques were dishonored. The RP admitted the appellant's claim as a home buyer for four flats allotted in lieu of interest but classified the appellant as an unsecured creditor for the principal amount.
Home Kraft Avenues (Appellant) granted a loan of Rs. 11 crores to Ornate Spaces R/t Ltd (Corporate Debtor) on 29.10.2015. The loan was initially payable after three years, with extensions granted later. The agreement provided two options for interest payment: 18% interest or transfer of four flats (No. 1501, 1502, 1504, 1601) to the Appellant. A clause stipulated that if the Corporate Debtor failed to pay the principal, four additional apartments (No. 1901, 1902, 1904, 2001) would be transferred. The Corporate Debtor defaulted on the principal amount, and the cheques were dishonored. On 29.06.2020, CIRP was initiated against the Corporate Debtor. The Appellant filed two claims: one for Rs. 11 crores as a secured financial creditor and another as the holder of four
…Home Kraft Avenues…
Initial deadline for…