# In the matter of Shri Govind Realty Pvt. Ltd. IA-44 & 106(MP) 2021 alongwith (MP) CP (IB) No. 75 of 2020

> NCLT judgment dated 2021-12-16. Citation: TCN-2021-NCLT-00146. The case pertains to an application filed under Section 7 of the Insolvency and Bankruptcy…

- **Court:** NCLT
- **Order date:** 16 Dec 2021
- **Citation:** TCN-2021-NCLT-00146
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/shri-govind-realty-pvt-ltd-ia-44-106mp-2021-alongwith-mp-cp-ib-no-75-of-2020-0f5705c1

## Summary

### Background

The case pertains to an application filed under Section 7 of the Insolvency and Bankruptcy Code, 2016 by Intec Capital Limited (Financial Creditor) against Shri Govind Reality Private Limited (Corporate Debtor) for initiating the Corporate Insolvency Resolution Process (CIRP). The application was filed due to the Corporate Debtor's default in paying a financial debt of approximately Rs. 2,90,00,000/-, with the date of default stated as 05.03.2018. The Financial Creditor, a Non-Banking Finance Company (NBFC), had granted a term loan of Rs. 3,00,00,000/- to the Corporate Debtor on 16.03.2015, to be repaid in sixty equitable monthly installments. The Corporate Debtor defaulted, leading to the Financial Creditor recalling the loan and serving a notice on 23.06.2018.

## Facts

Intec Capital Limited, a Non-Banking Finance Company (NBFC), filed an application under Section 7 of the Insolvency and Bankruptcy Code, 2016, against Shri Govind Reality Private Limited, the Corporate Debtor. The Financial Creditor had granted a term loan of Rs. 3,00,00,000/- to the Corporate Debtor on 16.03.2015, to be repaid in sixty equitable monthly installments of Rs. 7,61,803/-. The Corporate Debtor defaulted in paying the financial debt of Rs. 2,90,00,000/-, with the date of default being 05.03.2018. The Financial Creditor recalled the loan and served a notice on 23.06.2018. The Corporate Debtor filed IA/44(MP)2021 and IA/106(MP)2021 seeking to restrain the Financial Creditor, citing a pending matter before the Tehsildar & Executive Magistrate and an

…

## Issues and analysis

### Issue 1: Whether the application filed by the Financial Creditor under Section 7 of the Insolvency and …

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

…

**Reasoning:** The Adjudicating Authority considered the application filed by the Financial Creditor and

…

**Interpretation:** Section 7 provides a mechanism for financial creditors to recover their dues by

…

**Application:** The Adjudicating Authority found that the Financial Creditor had complied with

…

## Parties

- **Judges:** Madan B.…; Ajai Das Me…
- **Appellants:** Intec Capit…
- **Respondents:** Govind Reality…; Govind Realty Pvt…

## Timeline

- **2015-03-16 — Loan Disbur…**: Intec Capital Ltd. disbursed a term loan of Rs. 3,00,00,000/- to Shri Govind Reality Pvt.…
- **2018-03-05 — Date of D…**: Shri Govind Reality Pvt. Ltd.…

## 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/shri-govind-realty-pvt-ltd-ia-44-106mp-2021-alongwith-mp-cp-ib-no-75-of-2020-0f5705c1