# In the matter of Romi Datta Vs. S. Gurumoorthy & Anr. CA(AT)(Insolvency) No. 94-2018

> NCLAT judgment dated 14 Aug 2019. Citation: TCN-2019-NCLAT-00356. The case originated from an application filed by Mr. S. Gurumoorthy under Section 9 of the…

- **Court:** NCLAT
- **Order date:** 14 Aug 2019
- **Citation:** TCN-2019-NCLAT-00356
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/romi-datta-vs-s-gurumoorthy-anr-ca-b239b0db

## Summary

### Background

The case originated from an application filed by Mr. S. Gurumoorthy under Section 9 of the Insolvency and Bankruptcy Code, 2016, against M/s. Sahara Q Shop Unique Products Range Limited, the Corporate Debtor. This application was admitted by the Adjudicating Authority (National Company Law Tribunal), Mumbai Bench, through an order dated December 15, 2017. The primary ground for challenging this admission order was the appellant's contention that there was no default on the part of the Corporate Debtor, as alleged by the Operational Creditor. The appellant, Sh. Romi Datta, a shareholder of the Corporate Debtor, subsequently challenged this order before the National Company Law Appellate Tribunal (NCLAT).

## Facts

Mr. S. Gurumoorthi filed an application under Section 9 of the Insolvency and Bankruptcy Code, 2016 against M/s. Sahara Q Shop Unique Products Range Limited, the Corporate Debtor. The Adjudicating Authority (National Company Law Tribunal), Mumbai Bench, admitted this application through an order dated December 15, 2017. Sh. Romi Datta, a shareholder of the Corporate Debtor, challenged this order, arguing there was no default by the Corporate Debtor.

…

## Issues and analysis

### Issue 1: Whether the Adjudicating Authority's order admitting the application under Section 9 of the IBC…

**Ratio:** The legal rule established is that general prohibitory orders issued by a higher court…

**Reasoning:** The NCLAT reasoned that the appellant's assertion of no default, based on Supreme Court…

**Interpretation:** The court interpreted the Supreme Court's orders as being specific to the…

**Application:** Applying this interpretation, the NCLAT found that the appellant's argument…

## Parties

- **Judges:** S.J. Mukhop…
- **Advocates:** Saurab…; Neha G…; +5 more

## Timeline

- **August 31, 2012 — Supreme Court…**: Supreme Court passed a judgment/final order in 'SEBI v. SIRECL & Ors.' and 'SEBI v. SHICL…
- **September 26, 2013 — SEBI Letter…**: SEBI directed NSEL not to release amounts due to M/s. Sahara Q Shop Unique Products Range…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 9 — Application for initiation of corporate insolvency…](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-9)

---

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/romi-datta-vs-s-gurumoorthy-anr-ca-b239b0db