The application was filed under Section 7 of the Insolvency and Bankruptcy Code, 2016, by State Bank of India against Sysco Industries Ltd, claiming a default of Rs. 90,93,73,389.11 as of 2021-02-28. The account was classified as NPA on 2017-06-30. The Financial Creditor argued that the limitation period was extended due to a proposal submitted by the Corporate Debtor on 2018-03-22, which falls within three years of the NPA date. The Corporate Debtor sought time to reply, but the Bench questioned the maintainability of the application.
State Bank of India filed an application under Section 7 of the Insolvency and Bankruptcy Code, 2016, against Sysco Industries Ltd. The claimed default amount was Rs. 90,93,73,389.11 as of 2021-02-28. The account was classified as a Non-Performing Asset (NPA) on 2017-06-30. The Financial Creditor argued that the limitation period to file the application was extended due to a revival proposal submitted by the Corporate Debtor on 2018-03-22. The Corporate Debtor did not file a reply or written submission despite being given opportunities. The debt exceeded the threshold limit for initiating insolvency proceedings. The revival proposal and the debt amount remained uncontroverted by the Corporate Debtor. This lack of contestation was a key factor in the court's decision.
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The account of Sysco…
Sysco Industries Ltd.…
The application was filed under Section 7 of the Insolvency and Bankruptcy Code, 2016, by State Bank of India against Sysco Industries Ltd, claiming a default of Rs. 90,93,73,389.11 as of 2021-02-28. The account was classified as NPA on 2017-06-30. The Financial Creditor argued that the limitation period was extended due to a proposal submitted by the Corporate Debtor on 2018-03-22, which falls within three years of the NPA date. The Corporate Debtor sought time to reply, but the Bench questioned the maintainability of the application.
State Bank of India filed an application under Section 7 of the Insolvency and Bankruptcy Code, 2016, against Sysco Industries Ltd. The claimed default amount was Rs. 90,93,73,389.11 as of 2021-02-28. The account was classified as a Non-Performing Asset (NPA) on 2017-06-30. The Financial Creditor argued that the limitation period to file the application was extended due to a revival proposal submitted by the Corporate Debtor on 2018-03-22. The Corporate Debtor did not file a reply or written submission despite being given opportunities. The debt exceeded the threshold limit for initiating insolvency proceedings. The revival proposal and the debt amount remained uncontroverted by the Corporate Debtor. This lack of contestation was a key factor in the court's decision.
The account of Sysco…
Sysco Industries Ltd.…