# In the matter of Kimaya Industries Private Limited CP (IB) 04-NCLT-AHM-2022

> NCLT judgment dated 2023-02-03. Citation: TCN-2023-NCLT-04794. The case originates from an application filed on 2021-12-17 under Section 9 of the Insolvency…

- **Court:** NCLT
- **Order date:** 3 Feb 2023
- **Citation:** TCN-2023-NCLT-04794
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/kimaya-industries-private-limited-cp-ib-04-nclt-ahm-2022-a0ca49be

## Summary

### Background

The case originates from an application filed on 2021-12-17 under Section 9 of the Insolvency and Bankruptcy Code, 2016, by Kotharishah Texturisers Private Ltd. (Operational Creditor) to initiate the Corporate Insolvency Resolution Process (CIRP) against Kimaya Industries Private Limited (Corporate Debtor). The applicant claims a total sum of Rs. 1,63,57,009.49 is due, including an interest amount of Rs. 56,78,665.47, for goods supplied between 2019-09-02 and 2019-12-19. The corporate debtor is a private limited company engaged in the trading of textile items. The applicant contends that despite demand notices, the corporate debtor failed to make the overdue payments.

## Facts

Kotharishah Texturisers Private Ltd. (Operational Creditor) filed an application under Section 9 of the Insolvency and Bankruptcy Code, 2016, to initiate Corporate Insolvency Resolution Process (CIRP) against Kimaya Industries Private Limited (Corporate Debtor). The application was filed on 2021-12-17. The operational creditor claimed that a total sum of Rs. 1,63,57,009.49 was due from the corporate debtor, including an interest component of Rs. 56,78,665.47, for goods supplied between 2019-09-02 and 2019-12-19. The corporate debtor is a private limited company involved in the trading of textile items. The operational creditor issued demand notices in Form 3 and Form 4 under Section 8 of the IBC, but the corporate debtor failed to make the overdue payments. The

…

## Issues and analysis

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

**Ratio:** Section 9 of the Insolvency and Bankruptcy Code, 2016, allows an operational creditor to

…

**Reasoning:** The NCLT considered the documents and submissions made by both parties to determine if

…

**Interpretation:** Section 9 provides the framework for operational creditors to initiate CIRP,

…

**Application:** The NCLT determined that the application was complete, filed within the

…

## Parties

- **Judges:** DEEPTI M…; Ajai Das Me…
- **Appellants:** Kotharishah…
- **Respondents:** Kimaya Industries…

## Timeline

- **2019-09-02 — Goods Sup…**: Start date of the period during which goods were supplied by the operational creditor to…
- **2019-12-19 — Goods Sup…**: End date of the period during which goods were supplied by the operational creditor 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)

---

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/kimaya-industries-private-limited-cp-ib-04-nclt-ahm-2022-a0ca49be