# In the matter of UCAL Products Pvt. Ltd. CP(IB)-78(CHE)-2021

> NCLT judgment dated 2021-12-10. Citation: TCN-2021-NCLT-00203. The case involves an application filed by Integrated Data Management Services Pvt Ltd, the…

- **Court:** NCLT
- **Order date:** 10 Dec 2021
- **Citation:** TCN-2021-NCLT-00203
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/ucal-products-pvt-ltd-cpib-78che-2021-c58fc7bb

## Summary

### Background

The case involves an application filed by Integrated Data Management Services Pvt Ltd, the Financial Creditor, under Section 7 of the Insolvency and Bankruptcy Code, 2016, to initiate the Corporate Insolvency Resolution Process (CIRP) against Ucal Products Pvt Ltd, the Corporate Debtor. The Financial Creditor claimed a default on a financial debt. The Corporate Debtor was incorporated on 05.01.1979. The Financial Creditor stated that they are in the business of integrated data management services.

## Facts

Integrated Data Management Services Pvt Ltd (Financial Creditor) filed an application under Section 7 of the Insolvency and Bankruptcy Code, 2016, to initiate Corporate Insolvency Resolution Process (CIRP) against Ucal Products Pvt Ltd (Corporate Debtor). The Corporate Debtor has an authorized share capital of Rs. 4,00,00,000/- and a paid-up share capital of Rs. 2,68,96,000/-. The Financial Creditor provided details of the loan, stating that they transferred funds through RTGS to the Corporate Debtor's bank account on 20.07.2018 (Rs. 1,00,00,000/-), 26.07.2018 (Rs. 1,50,00,000/-), and 29.09.2018 (Rs. 2,50,00,000/-), totaling Rs. 5,00,00,000/-. The total outstanding amount, including interest at 15% p.a. as of 31.12.2019, was Rs. 6,00,86,301/-. A Demand Promissory Note

…

## Issues and analysis

### Issue 1: Whether the application under Section 7 of the Insolvency and Bankruptcy Code, 2016, should be …

**Ratio:** Section 7(5) of the IBC, 2016, states that the Adjudicating Authority (NCLT) may admit

…

**Reasoning:** The court reviewed the documents and evidence presented by the Financial Creditor,

…

**Interpretation:** Section 7 of the IBC provides a mechanism for financial creditors to initiate

…

**Application:** The court applied Section 7(5) of the IBC to the facts of the case and found

…

## Parties

- **Judges:** Ramalingam…; B. Anil…
- **Appellants:** Integrated Data…
- **Respondents:** Ucal Products Pvt…

## Timeline

- **1979-01-05 — Incorporation of…**: Ucal Products Pvt Ltd…
- **2018-07-06 — Demand Promiss…**: A Demand Promissory Note dated 06.07.2018 for Rs. 2.50 Crore was issued by the Corporate…

## 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/ucal-products-pvt-ltd-cpib-78che-2021-c58fc7bb