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2019 (7) TMI 1558 - Tri - Insolvency and BankruptcyMaintainability of application - initiation of CIRP - Corporate Debtor failed to make repayment of debt - Existence of dispute - time limitation - HELD THAT:- As per section 7 of the I& B Code, 2016, the contention of the Respondent that the debt is disputed is not maintainable as the existence of a dispute is of no consequence in a petition filed under section 7. As the debt and default are established, the question that arises at this point is whether the Petition is filed with the period of limitation - It is imperative to mention here that unless the Petition is filed within the period of limitation, the same cannot be considered on merits. The position of law is well established that the right to apply to section 7 of the I & B Code, 2016 accrues on or after 01.12.2016, the present Petition is filed well within the limitation and deserves to be admitted - the right to apply under the Insolvency and Bankruptcy Code, 2016 has accrued to the Petitioner only on the date of commencement of the Code, i.e., on 01.12.2016. The Petition is filed on 18.07.2018 and therefore is well within the limitation period. The Application under sub-section (2) of Section 7 of I&B Code, 2016 is complete. The existing financial debt of more than rupees one lakh against the corporate debtor and its default is also proved. Accordingly, the petition filed under section 7 of the Insolvency and Bankruptcy Code for initiation of corporate insolvency resolution process against the corporate debtor deserves to be admitted. Application admitted - Moratorium declared.
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