The case originates from a petition filed by CJ Chemical Pvt Ltd, an operational creditor, under Section 9 of the Insolvency and Bankruptcy Code (IBC), 2016, read with Rule 6 of the Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016. The petitioner sought the initiation of the Corporate Insolvency Resolution Process (CIRP) against L N Industries India Ltd, the corporate debtor, due to an alleged default in payment of an operational debt amounting to Rs. 3,00,50,089. The operational creditor claimed to have supplied chemicals to the corporate debtor on credit and issued a demand notice in Form-3 on 10.12.2021, for a debt that was due and defaulted on 10.02.2020. The corporate debtor admitted the debt but disputed the quantum.
CJ Chemical Pvt Ltd, the operational creditor, filed a petition under Section 9 of the IBC against L N Industries India Ltd, the corporate debtor, claiming a default of Rs. 3,00,50,089. The operational creditor supplied chemicals to the corporate debtor on credit and issued a demand notice on 10.12.2021, for a debt that was due and defaulted on 10.02.2020. The corporate debtor admitted the debt but disputed the quantum, stating that only Rs. 2,50,00,000 was due. The operational creditor argued that the corporate debtor had been given sufficient time to repay the debt but failed to do so. The NCLT noted that the corporate debtor had not disputed the existence of the debt, only the amount. This was a key fact in the decision-making process.
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The operational debt…
The operational…
The case originates from a petition filed by CJ Chemical Pvt Ltd, an operational creditor, under Section 9 of the Insolvency and Bankruptcy Code (IBC), 2016, read with Rule 6 of the Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016. The petitioner sought the initiation of the Corporate Insolvency Resolution Process (CIRP) against L N Industries India Ltd, the corporate debtor, due to an alleged default in payment of an operational debt amounting to Rs. 3,00,50,089. The operational creditor claimed to have supplied chemicals to the corporate debtor on credit and issued a demand notice in Form-3 on 10.12.2021, for a debt that was due and defaulted on 10.02.2020. The corporate debtor admitted the debt but disputed the quantum.
CJ Chemical Pvt Ltd, the operational creditor, filed a petition under Section 9 of the IBC against L N Industries India Ltd, the corporate debtor, claiming a default of Rs. 3,00,50,089. The operational creditor supplied chemicals to the corporate debtor on credit and issued a demand notice on 10.12.2021, for a debt that was due and defaulted on 10.02.2020. The corporate debtor admitted the debt but disputed the quantum, stating that only Rs. 2,50,00,000 was due. The operational creditor argued that the corporate debtor had been given sufficient time to repay the debt but failed to do so. The NCLT noted that the corporate debtor had not disputed the existence of the debt, only the amount. This was a key fact in the decision-making process.
The operational debt…
The operational…