Union Bank of India filed an application (MA 3300/2019) under Section 42 of the Insolvency & Bankruptcy Code, 2016, in the liquidation proceedings of Bharati Defence & Infrastructure Limited. Union Bank sought to set aside the Liquidator's order rejecting its claim as a financial creditor. The bank claimed it had provided a term loan to Great Offshore (International) Ltd. for constructing shipping vessels, with Bharati Defence acting as the shipbuilder. The Liquidator rejected the claim, stating it was for a refund of amounts paid for the supply of goods under a shipbuilding contract, making it an operational debt, not a financial debt.
Union Bank of India (Applicant) filed MA 3300/2019 in the liquidation proceedings of Bharati Defence & Infrastructure Limited (Corporate Debtor). Union Bank sought to set aside the Liquidator's order rejecting its claim as a financial creditor. The claim arose from a term loan sanctioned to Great Offshore (International) Ltd. for constructing three shipping vessels. The loan was later amended for the construction of one vessel, with Bharati Defence acting as the shipbuilder. A pre-delivery security assignment was executed between Norwegian Shipping Limited (NSL) and the Applicant, assigning NSL's rights under the shipbuilding contract to the Applicant. The Corporate Debtor was notified of this assignment. The Applicant terminated the shipbuilding contract after the
…Sign in to view the parties.
Great Offshore (International) Ltd. was…
The construction of the vessel was to be carried…
Union Bank of India filed an application (MA 3300/2019) under Section 42 of the Insolvency & Bankruptcy Code, 2016, in the liquidation proceedings of Bharati Defence & Infrastructure Limited. Union Bank sought to set aside the Liquidator's order rejecting its claim as a financial creditor. The bank claimed it had provided a term loan to Great Offshore (International) Ltd. for constructing shipping vessels, with Bharati Defence acting as the shipbuilder. The Liquidator rejected the claim, stating it was for a refund of amounts paid for the supply of goods under a shipbuilding contract, making it an operational debt, not a financial debt.
Union Bank of India (Applicant) filed MA 3300/2019 in the liquidation proceedings of Bharati Defence & Infrastructure Limited (Corporate Debtor). Union Bank sought to set aside the Liquidator's order rejecting its claim as a financial creditor. The claim arose from a term loan sanctioned to Great Offshore (International) Ltd. for constructing three shipping vessels. The loan was later amended for the construction of one vessel, with Bharati Defence acting as the shipbuilder. A pre-delivery security assignment was executed between Norwegian Shipping Limited (NSL) and the Applicant, assigning NSL's rights under the shipbuilding contract to the Applicant. The Corporate Debtor was notified of this assignment. The Applicant terminated the shipbuilding contract after the
…Great Offshore (International) Ltd. was…
The construction of the vessel was to be carried…