# In the matter of JKEW METALEC LIMITED

> NCLT judgment dated 2025-12-01. Citation: TCN-2025-NCLT-01776. M/s Arora Iron & Steel Rolling Mills Private Limited filed an application under Section 9 of…

- **Court:** NCLT
- **Order date:** 1 Dec 2025
- **Citation:** TCN-2025-NCLT-01776
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-allahabad/jkew-metalec-limited-6e9b88bc

## Summary

### Background

M/s Arora Iron & Steel Rolling Mills Private Limited filed an application under Section 9 of the Insolvency and Bankruptcy Code, 2016, to initiate Corporate Insolvency Resolution Process (CIRP) against M/s JKEW Forgings Limited due to failure to pay an outstanding operational debt of Rs. 1,06,76,044.80.

## Facts

M/s Arora Iron & Steel Rolling Mills Private Limited (Operational Creditor) supplied alloy steel to M/s JKEW Forgings Limited (Corporate Debtor).

The Operational Creditor claimed an outstanding debt of Rs. 1,06,76,044.80 as of 23.07.2021.

The Corporate Debtor made partial payments but later defaulted on the remaining amount.

The Corporate Debtor issued post-dated cheques that were dishonored.

The Operational Creditor issued a demand notice on 10.09.2021.

The Corporate Debtor disputed the claim, alleging incorrect interest calculations and pre-existing disputes.

A settlement agreement was executed between the parties on 11.05.2022, but the settlement failed.

The Operational Creditor filed I.A. No. 216/2023 seeking revival of the petition, which was allowed on 12.03.2024.

…

## Issues and analysis

### Issue 1: Whether the Application …

**Ratio:** The application was filed

…

**Reasoning:** The last payment was made on 23.07.2021, and the application was filed on 06.10.2021,

…

**Interpretation:** The limitation period is calculated from the date of default, which is the date

…

**Application:** The Tribunal applied the principle of a running account and considered the last

…

## Parties

- **Judges:** Praveen…; Ashish…
- **Appellants:** M/s Arora Iron &…
- **Respondents:** M/s JKEW Forgings…
- **Other parties:** Rajinder Pa…; Deepak…
- **Advocates:** Sh. Rajan…; Yash Ta…

## Timeline

- **2021-10-06 — Application…**: The present Application has been filed on 06.10.2021 under Section 9 of the Insolvency…
- **2021-07-23 — Date of D…**: The date of default as per…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 8 — Insolvency resolution by operational creditor](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-8)

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