# In the matter of Bohra Fashions Private Limited Company Application No. CP (IB) 30-NCLT-AHM-2022

> NCLT judgment dated 2022-05-10. Citation: TCN-2022-NCLT-02794. The case pertains to an application filed under Section 9 of the Insolvency and Bankruptcy…

- **Court:** NCLT
- **Order date:** 10 May 2022
- **Citation:** TCN-2022-NCLT-02794
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/bohra-fashions-private-limited-company-application-no-cp-ib-30-nclt-ahm-2022-99db1b3d

## Summary

### Background

The case pertains to an application filed under Section 9 of the Insolvency and Bankruptcy Code, 2016 (IBC) by Holzwood Industries Private Limited (Operational Creditor) against Bohra Fashions Private Limited (Corporate Debtor) for initiation of the Corporate Insolvency Resolution Process (CIRP). The application was filed due to an outstanding operational debt of Rs. 1,14,34,390.28 for the supply of fabrics by the operational creditor to the corporate debtor during the period from 01.04.2021 to 30.11.2021. The operational creditor issued a demand notice on 01.12.2021, which was duly delivered on 05.03.2022, but the corporate debtor neither replied to the notice nor made any payment.

## Facts

Holzwood Industries Private Limited (Operational Creditor) filed an application under Section 9 of the Insolvency and Bankruptcy Code, 2016, against Bohra Fashions Private Limited (Corporate Debtor). The application was filed on 27.01.2022. The operational creditor claimed that the corporate debtor owed them Rs. 1,14,34,390.28 for fabrics supplied between 01.04.2021 and 30.11.2021. A demand notice was issued on 01.12.2021 and delivered on 05.03.2022, but the corporate debtor did not respond or make any payments. The corporate debtor acknowledged the debt in an affidavit, citing financial difficulties due to COVID-19 and business crisis. The operational creditor submitted ledger accounts, invoices, and bank statements as evidence of the debt. The NCLT found the

…

## Issues and analysis

### Issue 1: Whether the application filed under Section 9 of the Insolvency and Bankruptcy Code, 2016 is …

**Ratio:** Section 9(5) of the IBC states that the Adjudicating Authority (NCLT) may admit the

…

**Reasoning:** The NCLT found that the application was complete, and the applicant was entitled to claim

…

**Interpretation:** Section 9 of the IBC provides the procedure for initiating CIRP by an

…

**Application:** The NCLT applied Section 9(5) of the IBC to the facts of the case, finding that

…

## Parties

- **Judges:** DEEPTI M…; Ajai Das Me…
- **Appellants:** Holzwood Industrie…
- **Respondents:** Bohra Fashions…

## Timeline

- **2021-04-01 — Start of Debt…**: The period during which the operational creditor supplied fabrics to the corporate debtor…
- **2021-11-30 — End of Debt…**: The period during which the operational creditor supplied fabrics to the corporate debtor…

## 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-division-bench-court-i-chenn/bohra-fashions-private-limited-company-application-no-cp-ib-30-nclt-ahm-2022-99db1b3d