Armaco Infralinks Pvt. Ltd. Vs B. S. Ispat Pvt. Ltd. (NCLT Mumbai)
NCLT Mumbai held that the Advance received by the Corporate Debtor against future supply of goods is an Operational Debt. Petition u/s. 9 of Insolvency and Bankruptcy Code admitted since Corporate Debtor failed to pay operational debt.
Facts- This Company Petition is filed under section 9 of the Insolvency and Bankruptcy Code, 2016 by Armaco Infralinks Pvt. Ltd. (operational creditor), seeking to initiate Corporate Insolvency Resolution Process (CIRP) against S. Ispat Ltd. (corporate debtor). The Operational Creditor is a private limited company incorporated in the year 2020 and is involved in the business of mining and agglomeration of hard coal.
The Respondent is a Private Limited Company incorporated on 01.12.1999. The authorised share capital of the Respondent is Rs. 1,85,00,00,000/- and paid up share capital is Rs. 1,82,45,63,920/-. It is involved in the business of coal mining and steel manufacturing and has been supplying coal to the Operational Creditor since May 2021.
The amount claimed to be in default as stated in Part IV is Rs. 35,58,16,538.06/- and the date of default is stated to be 15.08.2024.
Conclusion- The Advance received by the Corporate Debtor against future supply of goods is an Operational Debt as held by Hon’ble Supreme Court in case of M/s Consolidated Construction Consortium Ltd. v. M/s Hitro Energy Solutions (P) Ltd., 2022 SCC OnLine SC 142.
