Gagandeep Dudh Sankalan Kendra Vs Kute Sons Dairys Limited (NCLT Mumbai)
NCLT Mumbai held that application u/s. 9 of IBC for initiation of Corporate Insolvency Resolution Process [CIRP] against M/s. Kute Sons Dairys Limited [Corporate Debtor] admitted as debt and default thereon established.
Facts- This application was filed on 23.11.2024 by Mr. Pramod Anandrao Gawade, Sole Proprietor of M/s Gagandeep Dudh Sankalan Kendra, the Operational Creditor (OC), under Section 9 of the Insolvency and Bankruptcy Code, 2016 (IBC), read with Rule 6 of the Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016, seeking initiation of Corporate Insolvency Resolution Process (CIRP) against M/s Kute Sons Dairys Limited, the Corporate Debtor (CD).
Conclusion- The CD argues that default cannot be established in the absence of invoices and due dates. However, the Applicant has maintained a running account, which is well-supported by Milk Supply Bills, a Chartered Accountant’s certificate, and bank statements. The date of default has been consistently clarified through affidavits and rectified Form 5, and is established as 03.05.2024, being 15 days from the acknowledged promise to pay (vide letter dated 18.04.2024). A default can be inferred from a consistent course of dealings and absence of payment, even in the absence of formal invoices.
