Advance by real-estate developer to property owner for a re-development project qualifies as operational debt under IBC 2016

Sunteck Realty Limited Vs Goodwill Theatres Private Limited (NCLT Mumbai)

This Petition is filed under Section 9 of I&B Code, 2016 by Sunteck Realty Limited against Goodwill Theatres Private Limited for initiating corporate insolvency resolution process is admitted. NCLT held that the advance paid by a real-estate developer to a property owner for a re-development project qualifies as operational debt under the Insolvency & Bankruptcy Code, 2016 (IBC 2016).

FULL TEXT OF THE NCLT MUMBAI

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