# In the matter of Reverse Logistics Company Pvt. Ltd. (IB)-1647(ND)2019

> NCLT judgment dated 2019-09-16. Citation: TCN-2019-NCLT-01442. The case involves an operational creditor, Mr. Kumud Mishra, seeking recovery of unpaid salary…

- **Court:** NCLT
- **Order date:** 16 Sept 2019
- **Citation:** TCN-2019-NCLT-01442
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/reverse-logistics-company-pvt-ltd-ib-1647nd2019-42b1e67a

## Summary

### Background

The case involves an operational creditor, Mr. Kumud Mishra, seeking recovery of unpaid salary from the corporate debtor, M/s Reverse Logistics Company Pvt. Ltd. Mr. Mishra was employed as an Assistant Manager (Finance) and his services were terminated without granting him the notice period. He filed a petition under Section 9 of the Insolvency and Bankruptcy Code, 2016, for the unpaid salary for October, November, and December 2018, along with gratuity and salary for the notice period. A demand notice was issued, but the corporate debtor did not respond.

## Facts

Mr. Kumud Mishra, the operational creditor, was employed by M/s Reverse Logistics Company Pvt. Ltd., the corporate debtor, as an Assistant Manager (Finance). His services were terminated on an unspecified date without being granted the one-month notice period. Mr. Mishra filed a petition seeking recovery of unpaid salary for October, November, and December 2018, amounting to Rs. 47,000 per month, along with gratuity for seven years (Rs. 1,89,808) and salary for the notice period (Rs. 47,000), totaling Rs. 3,77,808. A demand notice dated May 28, 2019, was issued under Section 8 of the IBC, but the corporate debtor did not respond. No reply was received to the demand notice, and no dispute was raised regarding the unpaid operational debt. The corporate debtor admitted

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## Issues and analysis

### Issue 1: Whether the petition filed by the operational creditor under Section 9 of the Insolvency and …

**Ratio:** Section 9 of the Insolvency and Bankruptcy Code, 2016, allows an operational creditor to

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**Reasoning:** The court reasoned that the operational creditor had fulfilled the requirements of

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**Interpretation:** Section 9 of the IBC is interpreted to provide a mechanism for operational

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**Application:** In this case, the operational creditor, Mr. Kumud Mishra, demonstrated that the

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## Parties

- **Judges:** Ina Mal…; Saroj Ra…
- **Appellants:** Kumud M…
- **Respondents:** M/s. Reverse…

## Timeline

- **2012-11-20 — Employment of…**: Mr. Kumud Mishra was employed as an Assistant…
- **2018-12-01 — Unpaid Salary…**: The Corporate Debtor failed to pay Mr. Mishra's salary for the months of October,…

## 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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