# in the matter of Jenson & Nicholson (India) Ltd. CP (IB) No. 364-KB-2017

> NCLT judgment dated 2017-08-07. Citation: TCN-2017-NCLT-00654. Vivid Colors Private Limited, the Financial Creditor, filed a petition under Section 7 of the…

- **Court:** NCLT
- **Order date:** 7 Aug 2017
- **Citation:** TCN-2017-NCLT-00654
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/jenson-nicholson-india-ltd-cp-ib-no-364-kb-2017-eda47937

## Summary

### Background

Vivid Colors Private Limited, the Financial Creditor, filed a petition under Section 7 of the Insolvency and Bankruptcy Code, 2016, against Jenson & Nicholson (India) Ltd., the Corporate Debtor, for initiation of the Corporate Insolvency Resolution Process (CIRP). The Financial Creditor claimed that the Corporate Debtor defaulted on loan repayments amounting to INR 2,95,46,76,776/-. The Corporate Debtor admitted to the outstanding debt in their balance sheet and confirmation letter.

## Facts

Vivid Colors Private Limited (Financial Creditor) filed a petition against Jenson & Nicholson (India) Ltd. (Corporate Debtor) under Section 7 of the Insolvency and Bankruptcy Code, 2016, seeking initiation of Corporate Insolvency Resolution Process (CIRP). The Corporate Debtor allegedly defaulted on loan repayments. The total debt granted to the Corporate Debtor was INR 60,54,35,886/- originally taken from banks, financial institutions, and other lenders, but assigned to the Financial Creditor. Additionally, INR 32,23,75,000/- was directly granted by the Financial Creditor. The Corporate Debtor made partial payments, acknowledging the debt. The principal amount of the loan was INR 927,810,886/-, with accrued interest bringing the total to INR 2,026,865,890/-. After

…

## Issues and analysis

### Issue 1: Whether the petition filed by the Financial Creditor, Vivid Colors Private Limited, against the …

**Ratio:** Section 7 of the Insolvency and Bankruptcy Code, 2016, allows a financial creditor to

…

**Reasoning:** The court perused the documents, records, and evidence of default submitted by the

…

**Interpretation:** Section 7 of the IBC provides a mechanism for financial creditors to recover

…

**Application:** In this case, the court found that the Financial Creditor had submitted

…

## Parties

- **Judges:** Ms.manorama…
- **Appellants:** Vivid Colors Pvt.…
- **Respondents:** Jenson & Nicholson…

## Timeline

- **2017-08-07 — Judgement/Order…**: Judgement/Order…
- **2017-08-08 — Moratorium Effective…**: Order of moratorium shall have effect from 08.08.2017 till the completion of the…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 7 — Initiation of corporate insolvency resolution…](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-7)

---

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/jenson-nicholson-india-ltd-cp-ib-no-364-kb-2017-eda47937