# Pharmarule vs. Kniss Laboratories Private Limited

> NCLT judgment dated 2026-08-25. Citation: TCN-2026-NCLT-00932. Pharmarule, an Operational Creditor, filed an application under Section 9 of the Insolvency and…

- **Court:** NCLT
- **Order date:** 25 Aug 2026
- **Citation:** TCN-2026-NCLT-00932
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chennai/pharmarule-vs-kniss-laboratories-private-limited-zss3h

## Summary

### Background

Pharmarule, an Operational Creditor, filed an application under Section 9 of the Insolvency and Bankruptcy Code, 2016 (IBC) against Kniss Laboratories Private Limited, the Corporate Debtor, for initiating Corporate Insolvency Resolution Process (CIRP). The claim was for an outstanding operational debt of Rs. 2,49,63,066.82/-, comprising a principal amount and interest, with the date of default stated as 07.12.2023. A demand notice under Section 8 of the IBC was issued on 04.04.2025, but no reply was received from the Corporate Debtor. The Corporate Debtor disputed the claim, alleging that the application was not maintainable due to suppressed facts, returned goods, reconciliation issues, disputed interest, and a pre-existing dispute.

## Facts

Pharmarule (Applicant/Operational Creditor) filed an application under Section 9 of the IBC against Kniss Laboratories Private Limited (Respondent/Corporate Debtor).

The application seeks to initiate Corporate Insolvency Resolution Process (CIRP) against the Corporate Debtor.

The total outstanding debt claimed is Rs. 2,49,63,066.82/-, comprising a principal amount of Rs. 1,70,64,588.00/- and interest of Rs. 78,98,478.82/-.

The date of default is stated as 07.12.2023.

The application was filed on 16.05.2025.

The Applicant issued a demand notice under Section 8 of the Code dated 04.04.2025.

The demand notice was served upon the Corporate Debtor by e-mail on 07.04.2025 and by post on 08.04.2025.

…

## Issues and analysis

### Issue 1: Whether the Applicant has established the …

**Ratio:** Yes, the Applicant successfully established the existence of operational debt and default

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**Reasoning:** The Applicant placed on record purchase orders, invoices, ledger statements, working

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**Interpretation:** The documentary evidence, coupled with the Corporate Debtor's explicit

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**Application:** The Tribunal found that the Applicant's evidence sufficiently proved the debt

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## Parties

- **Judges:** Shri. JYOTI KUMAR…; SHRI. RAVICHANDRAN…
- **Appellants:** Pharma…
- **Respondents:** Kniss Laboratories…
- **Other parties:** Ramela Ran…
- **Advocates:** Alpa…; K. Moo…

## Timeline

- **1988-11-17 — Incorporation of…**: Kniss Laboratories Private Limited…
- **2023-10-01 — CDSCO Inspection and…**: Central Drugs Standard Control Organisation (CDSCO) conducted an inspection, leading to…

## 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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