# In the matter of Tuaman Engineering Limited C.P. (IB) No. 1092-KB-2020

> NCLT judgment dated 2023-06-15. Citation: TCN-2023-NCLT-02926. The case involves an application filed by OMM Constructions, an operational creditor, under…

- **Court:** NCLT
- **Order date:** 15 Jun 2023
- **Citation:** TCN-2023-NCLT-02926
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/tuaman-engineering-limited-cp-ib-no-1092-kb-2020-a991adaf

## Summary

### Background

The case involves an application filed by OMM Constructions, an operational creditor, under Section 9 of the Insolvency and Bankruptcy Code, 2016, to initiate the Corporate Insolvency Resolution Process (CIRP) against Tuaman Engineering Limited, the corporate debtor. The operational creditor claimed a default amount of Rs. 4,85,75,983 as of August 29, 2020, with interest from October 16, 2017. The corporate debtor contested the application, arguing that the claim was barred by limitation and that there was no amount due and payable.

## Facts

OMM Constructions, a partnership firm, provided construction services to Tuaman Engineering Limited as a subcontractor for the construction of toilet blocks under the Swachh Vidyalaya Abhiyan in Odisha. OMM Constructions raised invoices for the services rendered, but Tuaman Engineering Limited allegedly failed to make full payment. The total amount claimed in default was Rs. 4,85,75,983 as of August 29, 2020, with interest from October 16, 2017. OMM Constructions issued a statutory notice under Section 8 of the IBC. Tuaman Engineering Limited argued that the application was barred by limitation, alleging that the invoices were dated between August 2015 and April 2016, and the application was filed on October 12, 2020, beyond the three-year limitation period. Tuaman

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## Issues and analysis

### Issue 1: Whether the application filed by the Operational Creditor under section 9 of the Code is barred by …

**Ratio:** Section 9 of the Insolvency and Bankruptcy Code, 2016, read with the Limitation Act,

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**Reasoning:** The court considered the dates of the invoices, the date of filing the application, the

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**Interpretation:** The limitation period for filing an application under Section 9 of the IBC is

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**Application:** In this case, the court found that the part-payments made by the corporate

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## Parties

- **Judges:** BIDISHA BA…; Balraj…
- **Appellants:** OMM Constru…
- **Respondents:** Tuaman Engineering…

## Timeline

- **2015-05-29 — Work Ord…**: The Corporate Debtor issued a work order to the Operational Creditor for constructing…
- **2015-08-10 — Invoice…**: The Operational Creditor raised invoices upon the Corporate Debtor between August 10,…

## 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)

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