# In the matter of AS Autotech Private Limited Company Petition (IB) 397-(PB)-2017

> NCLT judgment dated 2018-02-12. Citation: TCN-2018-NCLT-01843. Idemitsu Lube India Private Limited filed an application under Section 9 of the Insolvency and…

- **Court:** NCLT
- **Order date:** 12 Feb 2018
- **Citation:** TCN-2018-NCLT-01843
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/as-autotech-private-limited-company-petition-ib-397-pb-2017-717de9cf

## Summary

### Background

Idemitsu Lube India Private Limited filed an application under Section 9 of the Insolvency and Bankruptcy Code, 2016, seeking initiation of the Corporate Insolvency Resolution Process (CIRP) against AS Autotech Private Limited, the respondent corporate debtor. The applicant claimed that the respondent had defaulted on payments for lubricants purchased, totaling Rs. 6,98,405.76. The applicant had previously filed a company petition before the High Court of Delhi for winding up the respondent company, which was later transferred to the NCLT after the enactment of the IBC. The earlier petition was withdrawn with liberty to file a fresh application under the Code.

## Facts

Idemitsu Lube India Private Limited (the applicant) filed an application under Section 9 of the Insolvency and Bankruptcy Code, 2016 (IBC) against AS Autotech Private Limited (the respondent), seeking initiation of Corporate Insolvency Resolution Process (CIRP). The applicant claimed that the respondent defaulted on payments for lubricants purchased, with invoices totaling Rs. 6,98,405.76. The applicant had previously filed a company petition for winding up the respondent in the High Court of Delhi, which was later transferred to the NCLT. The earlier petition was withdrawn with liberty to file a fresh application under the IBC. The applicant then filed the present application under Section 9 without issuing a fresh demand notice under Section 8 of the IBC after the

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## Issues and analysis

### Issue 1: Whether the application under Section 9 of the Insolvency and Bankruptcy Code, 2016 is maintainable …

**Ratio:** A prior notice under Section 8 of the Insolvency and Bankruptcy Code, 2016 is mandatory

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**Reasoning:** The court reasoned that Section 9 of the Code mandates the filing of an application only

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**Interpretation:** Section 8 of the IBC requires an operational creditor to first issue a demand

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**Application:** In this case, the applicant withdrew the earlier company petition and then

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## Parties

- **Judges:** M. M. K…; S. K. MOH…
- **Appellants:** Idemitsu Lube…
- **Respondents:** AS AutotechPrivate…

## Timeline

- **2014-05-16 — Invoice…**: Invoice no. 3517000157…
- **2014-06-21 — Invoice…**: Invoice no. 3517000263…

## 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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