# In the matter of Nysa Communications Private Limited Company Petition No. (IB)-2127(ND)-2019

> NCLT judgment dated 2021-11-01. Citation: TCN-2021-NCLT-00651. The petition was filed under Section 9 of the Insolvency and Bankruptcy Code, 2016, read with…

- **Court:** NCLT
- **Order date:** 1 Nov 2021
- **Citation:** TCN-2021-NCLT-00651
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/nysa-communications-private-limited-company-petition-no-ib-2127nd-2019-8803c760

## Summary

### Background

The petition was filed under Section 9 of the Insolvency and Bankruptcy Code, 2016, read with Rule 6 of the Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016, by Data Scantech Solutions through its Proprietor, Mr. Ajay Kumar Singh, seeking to initiate the Corporate Insolvency Resolution Process (CIRP) against M/s NYSA Communication Pvt. Ltd.

## Facts

Mr. Ajay Kumar Singh, the sole proprietor of Data Scantech Solutions, filed a petition under Section 9 of the Insolvency and Bankruptcy Code, 2016, to initiate the Corporate Insolvency Resolution Process (CIRP) against M/s NYSA Communication Pvt. Ltd. The petition was filed because Data Scantech Solutions claimed to be a financial creditor of NYSA Communication Pvt. Ltd. However, the NCLT noted that a CIRP had already been initiated against NYSA Communication Pvt. Ltd. in a separate case involving M/s Computer Junction Pvt. Ltd. This prior CIRP was a crucial fact that led to the dismissal of the petition.

## Issues and analysis

### Issue 1: Whether another Corporate Insolvency Resolution Process (CIRP) can be initiated against a Corporate …

**Ratio:** Section 11 of the Insolvency and Bankruptcy Code (IBC), 2016, prohibits the initiation of

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**Reasoning:** The Tribunal reasoned that initiating another CIRP against a Corporate Debtor already

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**Interpretation:** Section 11 of the IBC is interpreted to mean that once a CIRP has commenced

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**Application:** In this case, since a CIRP had already been initiated against M/s NYSA

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## Parties

- **Judges:** ABNI RANJAN KUMAR…; L. N. G…
- **Appellants:** Ajay Kumar…
- **Respondents:** NYSA Communication…

## Timeline

- **2019-01-01 — Company Petiti…**: Company Petition No. (IB)-2127(ND)/2019 filed by Data Scantech Solutions against NYSA…
- **2021-10-13 — Order in (IB)-556(ND)202…**: Order dated 13.10.2021 passed in (IB)-556(ND)2020, initiating CIRP against NYSA…

## 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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