National Asset Reconstruction Company Limited Vs Haridwar Highways Project Limited (NCLT Delhi)
NCLT Delhi held that application under section 7 of the Insolvency and Bankruptcy Code for initiation of Corporate Insolvency Resolution Process [CIRP] against Haridwar Highway Project Limited [Corporate Debtor] admitted since financial debt and default thereon established.
Facts- The present Company Application is filed by NATIONAL ASSET RECONSTRUCTION COMPANY LIMITED (Applicant) through its Senior Vice President /Authorised Representative Mr. Ekansh Kumar through its Power of Attorney Holder, India Debt Resolution Company Limited u/s. 7 of the Insolvency and Bankruptcy Code, 2016 read with rule 4 of the Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016 with a prayer to trigger Corporate Insolvency Resolution Process in respect of Respondent Company HARIDWAR HIGHWAY PROJECT LIMITED (Corporate Debtor) for default in repayment of financial debt of INR 2386,51,75,911/-.
Conclusion- Held that all statutory requirements for admission under Section 7 of the Insolvency and Bankruptcy Code, 2016, stand fulfilled. The existence of a financial debt is clearly established through the Term Loan I, II, and III and other supporting documents filed by the Financial Creditor. These documents substantiate that a financial debt, as defined under Section 5(8) of the IBC, was duly disbursed to the Corporate Debtor. On perusal of the documents, we find that the application, filed under Section 7 of the IBC by the Financial Creditor, is duly supported by all requisite documents. With no statutory bar to its admission, and in view of the undisputed financial debt, established default, and procedural compliance, the initiation of CIRP is warranted.
