# In the matter of Kalyan Muppaneni vs. K. Computers & Ors.

> NCLAT judgment dated 2024-12-18. Citation: TCN-2024-NCLAT-00017. The case involves two connected company appeals, Company Appeal (AT) (CH) (Ins) No.192/2022…

- **Court:** NCLAT
- **Order date:** 18 Dec 2024
- **Citation:** TCN-2024-NCLAT-00017
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/kalyan-muppaneni-vs-k-computers-ors-a803f200

## Summary

### Background

The case involves two connected company appeals, Company Appeal (AT) (CH) (Ins) No.192/2022 and No.193/2022, before the National Company Law Appellate Tribunal (NCLAT) at Chennai. Kalyan Muppaneni, the Appellant, challenged the Impugned Order of 04.03.2022, rendered in CP (IB) No. 71/9/AMR/2020, which admitted M/s. PI Data Centers Private Limited into CIRP proceedings. Appeal No. 193/2022 was accompanied by a Condone Delay Application (IA No. 441/2022) due to a 45-day delay. The Appellant argued that the delay should be condoned because of the pendency of IA No. 30/2022. The NCLAT considered whether Section 14 of the Limitation Act could apply to exclude the period during which IA No. 30/2022 was pending. The Appellant sought a direction for the respondents to file for

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## Facts

Kalyan Muppaneni, the Appellant, challenged the Impugned Order of 04.03.2022, which admitted M/s. PI Data Centers Private Limited into CIRP proceedings. The appeal was delayed by 45 days, leading to a Condone Delay Application (IA No. 441/2022). The Appellant argued that the delay should be condoned due to the pendency of IA No. 30/2022, seeking a direction for the respondents to withdraw CIRP proceedings under Section 12A of the IBC, claiming a debt settlement. The Appellant presented e-mail communications and certificates to support the claim of debt settlement. The Respondent denied the debt settlement agreement and the propriety of the e-mail communications. The Adjudicating Authority had previously ruled on IA No. 30/2022. The Appellant relied on Section 14 of the

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## Issues and analysis

### Issue 1: Whether the delay in filing Company Appeal (AT) (CH) (Ins) No.193/2022 can be condoned under …

**Ratio:** Section 14 of the Limitation Act applies when a party prosecutes a case in good faith

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**Reasoning:** The NCLAT reasoned that IA No. 30/2022 was an intra-court application, and the Appellant

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**Interpretation:** Section 14 of the Limitation Act is not applicable to intra-court applications

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**Application:** The NCLAT held that the delay in filing the appeal could not be condoned under

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## Parties

- **Judges:** Sharad Kumar…; Jatindranat…
- **Appellants:** Kalyan Mup…
- **Respondents:** M/s. Pi Data…; M/s. K. Com…

## Timeline

- **2022-03-04 — Impugned…**: Order passed by the Adjudicating Authority admitting M/s. PI Data Centers Private Limited…
- **2022-03-15 — IA No. 30/202…**: Appellant filed IA No. 30/2022 seeking a direction for the respondents to file for…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 61 — Appeals and Appellate Authority](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-61)

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