# In the matter of Whitehand Services vs. RD Buildtech & Developers (Karnataka) Pvt. Ltd.

> NCLAT judgment dated 2024-04-22. Citation: TCN-2024-NCLAT-00490. The Appellant, an Operational Creditor, initiated CIRP against the Corporate Debtor, M/s. RD…

- **Court:** NCLAT
- **Order date:** 22 Apr 2024
- **Citation:** TCN-2024-NCLAT-00490
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/whitehand-services-vs-rd-buildtech-developers-b525cfcf

## Summary

### Background

The Appellant, an Operational Creditor, initiated CIRP against the Corporate Debtor, M/s. RD Buildtech & Developers (Karnataka) Pvt. Ltd., under Section 9 of the Insolvency and Bankruptcy Code, 2016. The Appellant and Corporate Debtor had a Service Agreement from 01.05.2019, but disputes arose regarding the nature of services and delayed payments. The Appellant issued a demand notice (FORM 3) on 27.01.2020, following Section 8 of the IBC, which was served to the developer. The initial application under Section 9 was registered as CP(IB) No.180/BB/2020 but was rejected on 15.04.2021, with the Adjudicating Authority directing the parties to settle within one month. The Appellant then filed CP(IB) No.95/BB/2023, which was also rejected on 31.10.2023, because the claim

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## Facts

M/s. Whitehand Services, an Operational Creditor, filed a Company Appeal against M/s. RD Buildtech & Developers (Karnataka) Pvt. Ltd., the Corporate Debtor. The dispute arose from a Service Agreement dated 01.05.2019. The Operational Creditor claimed Rs.22,53,949/- was due from 01.04.2019. A demand notice (FORM 3) was issued on 27.01.2020. A second notice was issued on 30.12.2022, claiming Rs.40,19,099/- inclusive of interest from 15.04.2021. The initial application under Section 9 was rejected on 15.04.2021. A second company petition, CP(IB) No.95/BB/2023, was rejected on 31.10.2023, due to the claim being less than Rs.1 Crore as per the amended Section 4 of the IBC. The Impugned Judgment was dated 31.10.2023 and uploaded on 09.11.2023. The Appellant received a

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## Issues and analysis

### Issue 1: Whether the delay in filing …

**Ratio:** The limitation period for filing an appeal is determined from the date of pronouncement

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**Reasoning:** The court reasoned that the Appellant's delay in applying for the certified copy until

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**Interpretation:** Section 61 of the Insolvency and Bankruptcy Code, 2016, and the NCLAT Rules

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**Application:** The Appellant's appeal was filed on 26.12.2023, which was beyond the prescribed

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## Parties

- **Judges:** Sharad Kumar…; Jatindranat…
- **Appellants:** M/s. Whitehand…
- **Respondents:** M/s. RD Buildtech…

## Timeline

- **2019-05-01 — Service Agr…**: Appellant and Corporate Debtor…
- **2020-01-27 — Demand Notice…**: Appellant issued a demand notice…

## 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)

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