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2018 (12) TMI 1310 - Tri - Insolvency and BankruptcyInitiation of Corporate Insolvency Resolution Process (CIRP) - satisfaction of default as occurred - intervention application has been filed against the financial creditor - Held that:- The third party (being an entity other than the financial creditor/corporate debtor) is not offered the right to be heard and/or to intervene in a proceeding initiated under Section 7 of the IB Code as affirmed by the Hon'ble Supreme Court in ICICI BANK & ANR. [2017 (9) TMI 58 - SUPREME COURT OF INDIA]. That from the aforesaid decision it is clear that the Adjudicating Authority is only to satisfy that the default has occurred and that the Corporate debtor is entitled to point out that the default has not been occurred in the sense that the debt is not due. That no other person has a right to be heard at the stage of admission of the application under Sections 7 and 9 of the IB Code including the shareholders or the personal guarantor etc. That in view of the facts and circumstances narrated above, it is clear that any application/proceeding under this provision can only be filed by or against the corporate debtor. That in the present case, the intervention application has been filed against the financial creditor. Furthermore, sub-section (c) of section 60(5) has no applicability at the stage of adjudication on admissibility of an application filed under Section 7 of IB Code as this sub-section pertains to questions of priorities, facts or law arising out of or in relation to the Insolvency Resolution or Liquidation proceedings of the corporate debtor. In the above facts and circumstances as discussed above, we are of the considered view that Intervention Application do not hold merits, deserves to be rejected and stands rejected accordingly.
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