This appeal was filed by the Suspended Director of Mansfield Cables Company Ltd. challenging the order dated 27.05.2022 passed by the Adjudicating Authority (National Company Law Tribunal), New Delhi, Bench – IV, which admitted a Section 7 application filed by Arun Enterprises (Respondent No. 1). The appeal contests the admission of the Section 7 application, arguing that the transaction between the parties does not constitute a financial debt as defined under the Insolvency and Bankruptcy Code (IBC).
Mansfield Cables Company Ltd. (Corporate Debtor) owned a property in Greater Noida. An agreement to sell was entered on 08.02.2016 between Mr. JPS Chadha (Director of the Corporate Debtor) and Mr. Arun Dhir of Arun Enterprises for Rs. 3,65,00,000. Arun Enterprises paid Rs. 51,00,000 as advance. Later, an agreement for cancellation of the sale agreement was executed on 25.03.2017, where JPS Chadha agreed to return the payment with 2% interest per month. JPS Chadha issued post-dated cheques, but most were dishonored. A settlement agreement on 18.08.2017 noted JPS Chadha's failure to transfer the property. CIRP was initiated against the Corporate Debtor on 14.05.2018, but proceedings were terminated on 08.03.2019 after a settlement. Arun Enterprises filed a claim as a
…Sign in to view the parties.
An agreement to sell was entered between Mr.…
An agreement for cancellation of Sale Agreement…
This appeal was filed by the Suspended Director of Mansfield Cables Company Ltd. challenging the order dated 27.05.2022 passed by the Adjudicating Authority (National Company Law Tribunal), New Delhi, Bench – IV, which admitted a Section 7 application filed by Arun Enterprises (Respondent No. 1). The appeal contests the admission of the Section 7 application, arguing that the transaction between the parties does not constitute a financial debt as defined under the Insolvency and Bankruptcy Code (IBC).
Mansfield Cables Company Ltd. (Corporate Debtor) owned a property in Greater Noida. An agreement to sell was entered on 08.02.2016 between Mr. JPS Chadha (Director of the Corporate Debtor) and Mr. Arun Dhir of Arun Enterprises for Rs. 3,65,00,000. Arun Enterprises paid Rs. 51,00,000 as advance. Later, an agreement for cancellation of the sale agreement was executed on 25.03.2017, where JPS Chadha agreed to return the payment with 2% interest per month. JPS Chadha issued post-dated cheques, but most were dishonored. A settlement agreement on 18.08.2017 noted JPS Chadha's failure to transfer the property. CIRP was initiated against the Corporate Debtor on 14.05.2018, but proceedings were terminated on 08.03.2019 after a settlement. Arun Enterprises filed a claim as a
…An agreement to sell was entered between Mr.…
An agreement for cancellation of Sale Agreement…