Mukeshkumar Shah Proprietor of M/s. Radhey Traders Vs Synergy Food And Agro Processors Private Limited (NCLT Ahmedabad)
Background:
The present case involves an application filed by Mukeshkumar Shah, Proprietor of M/s Radhey Traders, under Section 9 of the Insolvency and Bankruptcy Code, 2016 (IBC) against Synergy Food and Agro Processors Private Limited. The operational creditor sought initiation of the Corporate Insolvency Resolution Process (CIRP) against the corporate debtor for default of a principal amount of Rs. 1,03,01,385 along with interest of Rs. 3,46,076 at a rate of 24% per annum.
The operational creditor, engaged in the trading of agricultural products in Aravalli District, supplied wheat to the corporate debtor on a regular basis. While partial payments were made, several invoices raised between 30.07.2024 and 10.08.2024 remained unpaid. The debt became due on the respective invoice dates, with the first outstanding payment due on 30.07.2024.
Demand Notice and Corporate Debtor Response:
The operational creditor issued a Form 3 demand notice dated 26.09.2024, seeking payment of Rs. 1,06,47,461/- including interest. The corporate debtor acknowledged financial difficulties, citing non-performing assets (NPA) status of its State Bank of India account and ongoing SARFAESI actions, and requested a repayment period of 24 to 36 months, disputing the interest charged.
The applicant, in a rejoinder, contended that the corporate debtor admitted the principal debt and did not raise any pre-existing dispute concerning the supplied goods. The creditor also denied granting any extended repayment period. Both parties filed detailed written submissions, which were considered by the NCLT.
Documents Submitted:
To substantiate the claim, the operational creditor relied on:
