# In the matter of Vasava Engineering Pvt. Ltd. CP (IB)No. 50-CTB-2019

> NCLT judgment dated 2019-09-27. Citation: TCN-2019-NCLT-01189. The case involves an application filed by the Operational Creditor, M/s MT and T Rental…

- **Court:** NCLT
- **Order date:** 27 Sept 2019
- **Citation:** TCN-2019-NCLT-01189
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/vasava-engineering-pvt-ltd-cp-ibno-50-ctb-2019-1ddcab62

## Summary

### Background

The case involves an application filed by the Operational Creditor, M/s MT and T Rental Limited, under Section 9 of the Insolvency and Bankruptcy Code, 2016, against the Corporate Debtor, M/s Vasava Engineering Pvt. Ltd., for unpaid dues related to the hiring of equipment. The Operational Creditor provided specialized access equipment to the Corporate Debtor, who failed to make full payments as per the agreed terms. The Operational Creditor issued a notice under Section 8 of the IBC, but the Corporate Debtor did not respond. The application seeks initiation of the Corporate Insolvency Resolution Process (CIRP) against the Corporate Debtor.

## Facts

M/s MT and T Rental Limited (Operational Creditor) filed an application under Section 9 of the Insolvency and Bankruptcy Code, 2016 against M/s Vasava Engineering Pvt. Ltd. (Corporate Debtor) for unpaid dues. The Operational Creditor is in the business of providing working solutions to industries with specialized access equipment. The Corporate Debtor approached the Operational Creditor for hiring Rotating Telehandler model MAGNI RTH with attachments. The Operational Creditor issued a quotation dated 03.12.2016, stipulating 100% advance payment with the Work Order. The Corporate Debtor issued a service order dated 12.12.2016. The Operational Creditor supplied the machinery. Invoices were issued and accepted by the Corporate Debtor without protest. The total billed

…

## Issues and analysis

### Issue 1: Whether the application 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

…

**Reasoning:** The court considered the documents and submissions made by the Operational Creditor,

…

**Interpretation:** Section 9 provides a mechanism for operational creditors to recover their dues

…

**Application:** The court found that the Operational Creditor had demonstrated the existence of

…

## Parties

- **Judges:** Sucharit…; Satya Ranjan…
- **Appellants:** M/s MT and T…
- **Respondents:** M/s Vasava…

## Timeline

- **2016-12-03 — Quotation…**: Operational Creditor issued quotation to…
- **2016-12-12 — Service Order…**: Corporate Debtor issued service…

## 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)

---

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/vasava-engineering-pvt-ltd-cp-ibno-50-ctb-2019-1ddcab62