# In the matter of Vasan Dental Hospitals Private Limited IBA-150-2020

> NCLT judgment dated 2021-04-09. Citation: TCN-2021-NCLT-02416. The case involves an application filed by M/s. Creative Dental Laboratory, the operational…

- **Court:** NCLT
- **Order date:** 9 Apr 2021
- **Citation:** TCN-2021-NCLT-02416
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/vasan-dental-hospitals-private-limited-iba-150-2020-a156533d

## Summary

### Background

The case involves an application filed by M/s. Creative Dental Laboratory, the operational creditor, against M/s. Vasan Dental Hospitals Private Limited, the corporate debtor, under Section 9 of the Insolvency and Bankruptcy Code, 2016. The operational creditor claimed an unpaid operational debt of Rs. 26,23,351/-. The application was filed due to the corporate debtor's failure to clear outstanding dues despite repeated reminders.

## Facts

M/s. Creative Dental Laboratory, represented by its Proprietor Mr. Karthikeyan, filed an application against M/s. Vasan Dental Hospitals Private Limited under Section 9 of the Insolvency and Bankruptcy Code, 2016. Creative Dental Laboratory claimed that Vasan Dental Hospitals Private Limited owed them Rs. 26,23,351/- as of 18.07.2017, out of a total claim of Rs. 58,33,351/- for dental supplies made between 01.04.2014 and 30.09.2016. Vasan Dental Hospitals Private Limited made payments amounting to Rs. 32,10,000/- between 30.09.2016 and 17.07.2017, with a final payment of Rs. 25,000/- on 22.01.2018. Creative Dental Laboratory issued a demand notice on 08.11.2019 under Section 8 of the IBC, 2016, which Vasan Dental Hospitals Private Limited failed to reply to or pay

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## Issues and analysis

### Issue 1: Whether the documents filed by the operational creditor are sufficient to prove the existence of …

**Ratio:** The operational creditor must provide sufficient documentary evidence to prove the

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**Reasoning:** The Adjudicating Authority found that the operational creditor failed to provide adequate

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**Interpretation:** Section 9 of the IBC, 2016 requires the operational creditor to provide

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**Application:** In this case, the operational creditor's application was dismissed because the

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## Parties

- **Judges:** R. Sucha…; B. Anil…
- **Appellants:** M/s. Creative…
- **Respondents:** M/s. Vasan Dental…

## Timeline

- **2014-04-01 — Start of Suppl…**: The operational creditor began supplying dental accessories and related products to the…
- **2016-09-30 — End of Supply…**: The operational creditor completed the supply of dental accessories and related products…

## 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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