Capital investment under reseller agreement doesn’t qualify as financial debt under IBC

Rajesh Alfred Vs Ketsaal Retail LLP (NCLAT Delhi) NCLAT Delhi held that the capital investment under the reseller agreement lacks the essential ingredients of financial debt under Section 5(8) (f) of the Insolvency and Bankruptcy Code. Accordingly, dismissal of petition u/s. 7 for CIRP justified. Facts- The present appeal has been filed u/s. 61 of the Insolvency and Bankruptcy Code, 2016 passed by the National Company Law Tribunal (Adjudicating Authority). The said petition under Section 7 of the Code was filed by the Appellant – Rajesh Alfred sole Proprietor of M/S Anand Enterprises, se...