Sree Ugcl Projects Ltd Vs Geosphere Industries Pvt. Ltd (NCLT Cuttack)
NCLT Cuttack held that application under section 9 of the Insolvency and Bankruptcy Code is admitted for initiation of Corporate Insolvency and Resolution Process against Corporate Debtor [Geosphere Industries Pvt. Ltd.] as operational debt of more than Rs. 1 crore stands established and default thereon is proved.
Facts- This present Application has been filed by M/S Sree UGCL Projects Ltd. (Operational Creditor/Applicant”) under Section 9 of the Insolvency and Bankruptcy Code, 2016 read with Rule 6 of the Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016 (Adjudicating Authority Rules) to initiate the Corporate Insolvency Resolution Process against M/S Geosphere Industries Pvt. Ltd. (Corporate Debtor/Respondent) for a default of a principal amount of Rs. 10,60,39,021/- along with interest of Rs. 7,96,39,796/- as on 20.05.2024, totalling Rs. 18,56,78,817/-.
Conclusion- Held that the disputes are not genuine and the Credit Note cannot be relied upon, both applications have no merit. Therefore, IA 83/2025 is dismissed because the petition fully meets the requirements of Section 9(5). Similarly, IA 234/2025 is dismissed because the petition has been filed in good faith for recovery of an admitted debt, and not as a misuse of the insolvency process.
