Service of demand notice u/s. 8 of IBC to registered email address of Corporate Debtor sufficient

Vinita Pramod Devkar Vs Kailash Shah (NCLAT Delhi)

NCLAT Delhi held that the communication of Section 8 Demand Notice via registered email address of Corporate Debtor is valid service of demand notice. Accordingly, admission of application under section 9 of the Insolvency and Bankruptcy Code justifiable.

Facts- The present appeal filed u/s. 61 of Insolvency and Bankruptcy Code 2016 by the Appellant arises out of the Order dated 02.01.2024 passed by the Adjudicating Authority. By the impugned order, the Adjudicating Authority has admitted the Section 9 petition filed by the Operational Creditor admitting the Corporate Debtor into the rigors of Corporate Insolvency Resolution Process. Aggrieved by the impugned order, the present appeal has been preferred by the suspended Director of the Corporate Debtor.

Conclusion- Held that to contend that the demand notice was not served on an operational email ID was simply a ruse raised to overcome the admission of Section 9 application admitted against them. Since the Demand Notice had been delivered at the registered email address of the Corporate Debtor which was on the public domain, the contention of the Corporate Debtor that the demand notice had not been served upon them does not appeal to reason. We are of the considered view that there was no cogent basis for the Appellant to claim that Section 8 demand notice had not been validly served on them.