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2023 (4) TMI 507 - NATIONAL COMPANY LAW APPELLATE TRIBUNAL , PRINCIPAL BENCH , NEW DELHIMaintainability of application - initiation of CIRP - Corporate Debtor failed to make repayment of its dues - loan facility granted to one of subsidiary of ILFS Group - Financial Creditors - existence of debt and dispute or not - HELD THAT:- The Adjudicating Authority after noticing the submissions of the parties has also relied on letters issued by ITNL which has issued an awareness letter to loan given by MP Border i.e. subsidiary of the ILFS dated 29th March, 2018 and further has referred to another Letter dated 07th October, 2022 which was sent to the Corporate Debtor by IFLS Transportation Networks Limited. The Financial Facility extended by Corporate Debtor was to one of the subsidiary of the ILFS and it is not far to seek that since under RBI Directives ILFS could not directly lend the amount to its subsidiary the said mechanism was adopted which has been found so by the Adjudicating Authority. The Adjudicating Authority in the facts of the present case has rightly exercised its discretion in not admitting Section 7 Application. It is also to be noticed that under the order passed by this Tribunal in Order dated 15.10.2018, the actions against ILFS was prohibited - there are no error in the Order impugned - appeal dismissed.
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