The appeal challenges an order dated 09.11.2023 by the National Company Law Tribunal (NCLT), Ahmedabad, which allowed an application under Section 43 of the Insolvency and Bankruptcy Code (IBC). The appellant argued that the Corporate Debtor had supplied goods to M/s Pratap Associates, an HUF firm of Appellant No.3, making them a related party. The outstanding amount for these goods, supplied before 23.05.2018, was Rs.7,78,31,555/-. The Corporate Debtor, M/s Sysco Industries Ltd, entered Corporate Insolvency Resolution Process (CIRP) on 8th September, 2021, with the look-back period under Section 43 commencing on 8th September, 2019.
M/s Sysco Industries Ltd (Corporate Debtor) supplied goods to M/s Pratap Associates, an HUF firm of Appellant No.3. The outstanding amount as of 23.05.2018 was Rs.7,78,31,555/-. M/s Sysco Industries Ltd entered CIRP on 8th September, 2021. The application under Section 43 of the Code was filed based on the minutes of the 4th COC Meeting dated 14.12.2021. The NCLT allowed the application under Section 43, directing respondents to deposit the outstanding amount. The appellant contested the extension of the look-back period beyond two years. The key fact is the date of the transaction (before 23.05.2018) relative to the CIRP commencement date (08.09.2021), which determines the applicability of Section 43.
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Goods were supplied by the Corporate Debtor to…
M/s Sysco Industries Ltd, the Corporate Debtor,…
The appeal challenges an order dated 09.11.2023 by the National Company Law Tribunal (NCLT), Ahmedabad, which allowed an application under Section 43 of the Insolvency and Bankruptcy Code (IBC). The appellant argued that the Corporate Debtor had supplied goods to M/s Pratap Associates, an HUF firm of Appellant No.3, making them a related party. The outstanding amount for these goods, supplied before 23.05.2018, was Rs.7,78,31,555/-. The Corporate Debtor, M/s Sysco Industries Ltd, entered Corporate Insolvency Resolution Process (CIRP) on 8th September, 2021, with the look-back period under Section 43 commencing on 8th September, 2019.
M/s Sysco Industries Ltd (Corporate Debtor) supplied goods to M/s Pratap Associates, an HUF firm of Appellant No.3. The outstanding amount as of 23.05.2018 was Rs.7,78,31,555/-. M/s Sysco Industries Ltd entered CIRP on 8th September, 2021. The application under Section 43 of the Code was filed based on the minutes of the 4th COC Meeting dated 14.12.2021. The NCLT allowed the application under Section 43, directing respondents to deposit the outstanding amount. The appellant contested the extension of the look-back period beyond two years. The key fact is the date of the transaction (before 23.05.2018) relative to the CIRP commencement date (08.09.2021), which determines the applicability of Section 43.
Goods were supplied by the Corporate Debtor to…
M/s Sysco Industries Ltd, the Corporate Debtor,…