# In the matter of Bacon Vanijya Pvt. Ltd. C.P. (IB) 133-NCLT-AHM-2021 > NCLT judgment dated 2021-09-20. Citation: TCN-2021-NCLT-01067. The application was filed by the Financial Creditor, 03 Developers Pvt. Ltd., under Section 7… - **Court:** NCLT - **Order date:** 20 Sept 2021 - **Citation:** TCN-2021-NCLT-01067 - **Category:** IBC - **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/bacon-vanijya-pvt-ltd-cp-ib-133-nclt-ahm-2021-9b56a876 ## Summary ### Background The application was filed by the Financial Creditor, 03 Developers Pvt. Ltd., under Section 7 of the Insolvency & Bankruptcy Code, 2016, for initiating the Corporate Insolvency Resolution Process (CIRP) against the Corporate Debtor, Bacon Vanijya Pvt. Ltd. The amount of default is Rs. 1,24,00,000/-, and the date of default is stated as 01.04.2021. The financial creditor disbursed Rs. 1,24,00,000/- on 11.09.2020, supported by a bank statement. The corporate debtor failed to make the payment due on 01.04.2021, leading to the issuance of a notice recalling the loan amount on 09.04.2021, after which the application was filed. ## Facts 03 Developers Pvt. Ltd., the Financial Creditor, filed an application under Section 7 of the Insolvency & Bankruptcy Code, 2016, to initiate Corporate Insolvency Resolution Process (CIRP) against Bacon Vanijya Pvt. Ltd., the Corporate Debtor. The amount of default is Rs. 1,24,00,000/-, with the default date being 01.04.2021. The Financial Creditor disbursed Rs. 1,24,00,000/- on 11.09.2020. The Corporate Debtor acknowledged the debt but cited adverse business conditions for non-repayment. The application was found complete and defect-free. Mr. Amrish Navinchandra Gandhi was appointed as the Interim Resolution Professional (IRP). A moratorium was imposed effective from 20.09.2021. The Financial Creditor is directed to pay Rs. 1,00,000/- to the IRP as fees and expenses. ## Issues and analysis ### Issue 1: Whether the application filed by the Financial Creditor under Section 7 of the Insolvency and … **Ratio:** An application under Section 7 of the IBC is admissible if the debt and default are … **Reasoning:** The NCLT considered the application, the supporting documents, and the Corporate Debtor's … **Interpretation:** Section 7 of the IBC allows a financial creditor to initiate CIRP against a … **Application:** In this case, the Financial Creditor demonstrated the existence of a debt and a … ## Parties - **Judges:** Madan B.…; Virendra Kumar… - **Appellants:** 03 Developers Pvt… - **Respondents:** Bacon Vanijya… ## Timeline - **2020-09-11 — Disbursement o…**: Rs. 1,24,00,000/- was disbursed by the… - **2021-04-01 — Default…**: The amount fell due for payment, but the… ## Legal provisions - [Insolvency and Bankruptcy Code, 2016, Section 14 — Moratorium](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-14) --- This is a preview. The full structured summary, issues, precedents and source judgment are available on CaseEase - Legal Intelligence Simplified: https://caseease.in/cases/ibc/nclt-chandigarh/bacon-vanijya-pvt-ltd-cp-ib-133-nclt-ahm-2021-9b56a876