# In the matter of Khoday India Limited

> NCLT judgment dated 2024-01-10. Citation: TCN-2024-NCLT-03199. The petition was filed on 06.05.2022 under Section 9 of the Insolvency and Bankruptcy Code,…

- **Court:** NCLT
- **Order date:** 10 Jan 2024
- **Citation:** TCN-2024-NCLT-03199
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/khoday-india-limited-5289a1d0

## Summary

### Background

The petition was filed on 06.05.2022 under Section 9 of the Insolvency and Bankruptcy Code, 2016, by M/s. Boss Engineering Company (Operational Creditor) seeking to initiate Corporate Insolvency Resolution Professional Process against M/s. Khoday RCA Industries (Corporate Debtor) on the ground of default for a total outstanding amount of Rs. 6,96,60,088/-. The date of default mentioned in Form 5 is 11.01.2021. The Operational Creditor and Corporate Debtor had a business relationship since 2014-2015. The Operational Creditor supplied Aseptic Pac Paper material to the Corporate Debtor. Six invoices were raised totaling Rs. 2,66,58,305, which became outstanding. The Operational Creditor issued a demand notice on 15.03.2022.

## Facts

M/s. Boss Engineering Company (Operational Creditor) filed a petition under Section 9 of the IBC against M/s. Khoday RCA Industries (Corporate Debtor) for a default of Rs. 6,96,60,088/-. The date of default was stated as 11.01.2021. The Operational Creditor and Corporate Debtor had a business relationship since 2014-2015, where the Operational Creditor supplied Aseptic Pac Paper material to the Corporate Debtor. Six invoices totaling Rs. 2,66,58,305 became outstanding. A demand notice was issued on 15.03.2022. The Respondent contended that the claims pertain to Khoday RCA Industries, a partnership firm, and the petition is barred by Section 10A of the IBC. The Petitioner argued that Khoday RCA Industries is a division of the Respondent and the account was a running

…

## Issues and analysis

### Issue 1: Whether the petition under Section 9 of the IBC is maintainable considering the default date falls …

**Ratio:** Section 10A of the IBC bars the institution of any application for the commencement of

…

**Reasoning:** The Tribunal observed that the demand notice stated the date of default as 11.01.2021,

…

**Interpretation:** Section 10A of the IBC provides a specific exclusion period during which no

…

**Application:** Since the date of default (11.01.2021) and the dates of the invoices

…

## Parties

- **Judges:** K. Bi…; Manoj Kumar…
- **Respondents:** M/s. Khoday RCA…; M/s. Boss…

## Timeline

- **2022-05-06 — Petition…**: The present petition is filed under section 9 of…
- **2022-03-15 — Demand Notice…**: The Operational Creditor issued Demand…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 8 — Insolvency resolution by operational creditor](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-8)

---

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/khoday-india-limited-5289a1d0