# In the matter of Khush Infratech Private Limited

> NCLT judgment dated 2023-12-13. Citation: TCN-2023-NCLT-00264. The case involves an application filed by Mr. Praveen Nath, the Operational Creditor, under…

- **Court:** NCLT
- **Order date:** 13 Dec 2023
- **Citation:** TCN-2023-NCLT-00264
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/khush-infratech-private-limited-6be8ed20

## Summary

### Background

The case involves an application filed by Mr. Praveen Nath, the Operational Creditor, under Section 9 of the Insolvency and Bankruptcy Code, 2016, to initiate Corporate Insolvency Resolution Process (CIRP) against Khush Infratech Private Limited, the Corporate Debtor. The Operational Creditor provided tree plantation services to the Corporate Debtor for a road construction project. A sum of Rs. 1,13,39,141/- became due from the Corporate Debtor on account of this work. The Operational Creditor sent reminders for payment, but the Corporate Debtor failed to pay. The Operational Creditor then issued a demand notice under Section 8 of the Code, which the Corporate Debtor also failed to respond to. The Corporate Debtor argued against the application, claiming false

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## Facts

Mr. Praveen Nath, the Operational Creditor, filed an application under Section 9 of the Insolvency and Bankruptcy Code, 2016, to initiate Corporate Insolvency Resolution Process (CIRP) against Khush Infratech Private Limited, the Corporate Debtor. The Operational Creditor is a contractor engaged in plantation work for road construction projects. The Corporate Debtor availed the Operational Creditor's services for tree plantation in a road construction project. An amount of Rs. 1,13,39,141/- became due to the Operational Creditor from the Corporate Debtor. The Operational Creditor issued invoices RA-01 dated 30.11.2018 for Rs. 13,51,000/- and RA-02 dated 01.04.2019 for Rs. 1,12,25,750/-. The Operational Creditor sent reminders in April 2019 and January 2021. A demand

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## Issues and analysis

### Issue 1: Whether the Mumbai bench of the NCLT has territorial …

**Ratio:** Section 60(1) of the Insolvency and Bankruptcy Code, 2016, stipulates that the

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**Reasoning:** The court reasoned that Section 60(1) clearly defines territorial jurisdiction based on

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**Interpretation:** Section 60(1) of the Code explicitly defines the territorial jurisdiction of

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**Application:** The Corporate Debtor's registered office is in Mumbai, therefore, the Mumbai

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## Parties

- **Judges:** K. R. SAJI…; SANJIV…
- **Appellants:** Praveen…
- **Respondents:** Khush Infratech…

## Timeline

- **2018-11-30 — Invoice…**: Operational Creditor raised…
- **2019-04-01 — Invoice…**: Operational Creditor raised…

## 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)

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