# In the matter of Prayag Polytech Pvt. Ltd. IA No. 220-JPR-2019 in IB No. 103-7-JPR-2019

> NCLT judgment dated 2019-07-19. Citation: TCN-2019-NCLT-02412. The case involves an application filed for waiver of costs imposed on the Corporate Debtor for…

- **Court:** NCLT
- **Order date:** 19 Jul 2019
- **Citation:** TCN-2019-NCLT-02412
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/prayag-polytech-pvt-ltd-ia-no-220-jpr-2019-in-ib-no-103-7-jpr-2019-15dec02f

## Summary

### Background

The case involves an application filed for waiver of costs imposed on the Corporate Debtor for a delay in filing a reply. The Corporate Debtor was initially given two weeks to file a reply, but the authorized representative was indisposed and unable to travel from Delhi to provide instructions. Court vacation followed, and the counsel was unavailable, preventing the timely filing of the reply. On the next hearing date, the reply was ready and requested to be filed, but it was allowed subject to cost.

## Facts

Enkay (India) Rubber Co. Pvt. Ltd. filed a case against Prayag Polytech Pvt. Ltd. The Corporate Debtor, Prayag Polytech Pvt. Ltd., faced a cost imposition for delaying the filing of a reply. The delay occurred because the authorized representative was indisposed and unable to travel from Delhi to give instructions. The court vacation and counsel unavailability further contributed to the delay. The reply was eventually ready, but its filing was allowed subject to cost. The Corporate Debtor then filed an application (IA No. 220/JPR/2019) to waive the imposed cost, arguing the delay was unintentional. The learned counsel for the applicant did not raise any objection.

## Issues and analysis

### Issue 1: Whether the cost imposed on the Corporate Debtor for …

**Ratio:** The court has the discretion to waive costs if the delay is unintentional and there is no

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**Reasoning:** The court considered the submission that the delay was unintentional and not deliberate.

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**Interpretation:** The court interpreted the circumstances surrounding the delay, focusing on the

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**Application:** The ratio and reasoning were applied to the specific facts of the case, where

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## Parties

- **Judges:** DEEPTI M…
- **Appellants:** Enkay (India)…
- **Respondents:** Prayag Polytech…

## Timeline

- **2019-05-31 — Order Da…**: The court ordered that the Corporate…
- **2019-07-12 — Next Hearin…**: The reply was ready, and the Corporate Debtor requested to file it, but it was allowed…

## 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)

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