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2022 (7) TMI 525 - AT - Insolvency and BankruptcyCIRP process - time limitation - acknowledgement of debt - Applicant has initiated proceedings before District Magistrate and The Debts Recovery Tribunal within the period of limitation or not - HELD THAT:- It is seen from the record that the date of default has been mentioned as 13.09.2013, which stood revived with the OTS proposal dated 01.08.2016 filed vide I.A. 1155/2016 before the DRT Pune, well within the three year period. Subsequently, another settlement proposal dated 07.03.2018 was accepted by the Bank on 27.03.2018, wherein a timeline was provided for the payment of the balance amount - the OTS proposal dated 01.08.2016 filed vide I.A. 1155/2016 falls within the ambit of ‘acknowledgement of debt’ as defined under Section 18 of the Limitation Act, 1963, which is further fructified by the admitted OTS dated 27.03.2018 again within three years of the previous proposal where the ‘debt’ is acknowledged to be ‘due and payable’. The ratio of the Hon’ble Supreme Court in DENA BANK (NOW BANK OF BARODA) VERSUS C. SHIVAKUMAR REDDY AND ANR. [2021 (8) TMI 315 - SUPREME COURT] is squarely applicable to the facts of this case as there is a jural relationship between the ‘Corporate Debtor’ and the Respondent Bank and there is an ‘acknowledgement of debt’ vide the OTS dated 27.03.2018, which falls within the ambit of Section 18 of the Limitation Act, 1963. This Tribunal is of the considered view that the OTS proposal dated 01.08.2016 and the subsequent one on 27.03.2018 falls within the definition of the ambit of ‘acknowledgement of debt’ as envisaged under Section 18 of the Limitation Act, 1963 - Appeal dismissed.
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