# In the matter of Mission Holdings Private Limited

> NCLT judgment dated 2024-01-31. Citation: TCN-2024-NCLT-02832. IIFCL Asset Management Company Limited, the Applicant/Financial Creditor, filed a petition…

- **Court:** NCLT
- **Order date:** 31 Jan 2024
- **Citation:** TCN-2024-NCLT-02832
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/mission-holdings-private-limited-671c4ae0

## Summary

### Background

IIFCL Asset Management Company Limited, the Applicant/Financial Creditor, filed a petition under Section 7 of the Insolvency and Bankruptcy Code, 2016, to initiate the Corporate Insolvency Resolution Process (CIRP) against Mission Holdings Private Limited, the Respondent/Corporate Debtor. The Corporate Debtor had provided a corporate guarantee to secure facilities availed by Feedback Infra Private Limited from the Applicant. The Applicant issued Non-Convertible Debentures (NCDs) for a value of Rs. 30 Crores. The Debentures were to be redeemed in three installments. The Borrower failed to maintain the Debt Service Reserve Account and did not make payments against the redemption of NCDs. The Applicant issued notices of default. The Respondent contended that the

…

## Facts

IIFCL Asset Management Company Limited (Applicant) sought to initiate CIRP against Mission Holdings Private Limited (Corporate Debtor) under Section 7 of the IBC, 2016. The Corporate Debtor had furnished a corporate guarantee to secure facilities availed by Feedback Infra Private Limited (Borrower) from the Applicant. The Applicant issued Non-Convertible Debentures (NCDs) for Rs. 30 Crores. The NCDs were to be redeemed in three installments. The Borrower failed to maintain the Debt Service Reserve Account and did not make payments against the redemption of NCDs on 20.12.2020, 20.12.2021 and 20.12.2022. The Applicant issued a Notice of Default dated 29.12.2021. The Corporate Debtor argued that the application was barred by Section 10A of the IBC, 2016, as the default

…

## Issues and analysis

### Issue 1: Whether the application under Section 7 of the IBC, 2016 is maintainable when the default occurred …

**Ratio:** Section 10A of the IBC provides a suspension period during which no application for

…

**Reasoning:** The court considered the arguments that defaults covered by Section 10A cannot be

…

**Interpretation:** Section 10A provides a bar on initiating CIRP for defaults occurring during the

…

**Application:** In this case, the default related to the second tranche of debentures occurred

…

## Parties

- **Judges:** SH. ASHOK KUMAR…; SH. SUBRATA KUMAR…
- **Appellants:** IIFCL Asset…
- **Respondents:** Mission Holdings…

## Timeline

- **1996-09-27 — Incorporation of…**: Mission Holdings Private…
- **2017-11-27 — NCD Prop…**: Borrower proposed to issue 300 listed and secured redeemable Non-Convertible Debentures…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 7 — Initiation of corporate insolvency resolution…](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-7)

---

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/mission-holdings-private-limited-671c4ae0