# in the matter of Agroh Infrastructure Developer (P) Ltd. CP No. 16-9-MAH-2017

> NCLT judgment dated 2017-05-18. Citation: TCN-2017-NCLT-00859. Narmada Construction (Indore) Private Limited, the Operational Creditor, filed a petition under…

- **Court:** NCLT
- **Order date:** 18 May 2017
- **Citation:** TCN-2017-NCLT-00859
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/agroh-infrastructure-developer-p-ltd-cp-no-16-9-mah-2017-602acf46

## Summary

### Background

Narmada Construction (Indore) Private Limited, the Operational Creditor, filed a petition under Section 9 of the Insolvency and Bankruptcy Code, 2016, against Agroh Infrastructure Developer Private Ltd., the Corporate Debtor, for unpaid dues related to road construction work. The Operational Creditor claimed that the Corporate Debtor had assigned them road construction work, which they completed in 2013. The concerned Government Department awarded the Corporate Debtor the Completion Certificate. The Operational Creditor submitted the final bill to the Corporate Debtor, but the payment was not made, leading to the default.

## Facts

Narmada Construction (Indore) Private Limited (Operational Creditor) filed a petition under Section 9 of the Insolvency and Bankruptcy Code, 2016 against Agroh Infrastructure Developer Private Ltd. (Corporate Debtor). The Operational Creditor claimed that the Corporate Debtor assigned them road construction work of Bitumen Road of Magarkhedi-Bamandi, District Barwani, and another road construction work of Bitumen Road of Khandwa-Jhedtalai, which they completed in 2013 as per the specifications given by the Corporate Debtor. The concerned Government Department awarded the Corporate Debtor the Completion Certificate. The Operational Creditor submitted the final bill to the Corporate Debtor for the above-mentioned work. According to the Work Agreement, there was an

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## Issues and analysis

### Issue 1: Whether the claim is an …

**Ratio:** An 'operational debt' means a claim in respect of the provision of goods or services,

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**Reasoning:** The Operational Creditor provided services of construction of road to the Corporate

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**Interpretation:** The definition of operational debt under Section 5(21) of the Code includes

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**Application:** Since the claim arises from road construction services provided by the

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## Parties

- **Judges:** BIKKI RAVEENDRA…
- **Appellants:** Narmada Constructi…
- **Respondents:** Agroh Infrastructu…; Agroh Infrastructu…

## Timeline

- **2013-01-01 — Completion of Road…**: Operational Creditor completed the road construction work assigned by the Corporate…
- **2014-08-31 — Default…**: The default occurred on…

## 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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