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2018 (3) TMI 233 - AT - Insolvency and BankruptcyCorporate insolvency proceedings - contesting respondents eligibility as ‘Financial Creditor’ - liability of the guarantee in the books of corporate debtor is in the name of the daughter - Held that:- The amount of ₹ 29,97,000/-, is claimed to have been paid by the contesting respondents either to Captain V. K. Adukia or Captain Rajeev Chauhan or the Punjab National Bank. There is nothing on record to suggest that the amount has been ‘disbursed’ in favour of ‘Corporate Debtor’ against ‘consideration for the time value of money’. The contesting respondents have also failed to bring on record any evidence to suggest that the money was borrowed or raised by the ‘Corporate Debtor’ under any other transactions including sale or purchase or other mode having commercial effect of borrowing. In view of the aforesaid finding, we hold that the contesting respondents do not come within the meaning of ‘Financial Creditor’ and the application under Section 7 at their instance was not maintainable. The Adjudicating Authority has failed to notice the aforesaid provisions and without going to the question as to whether the application at the instance of the contesting respondents was maintainable or not has admitted the application.
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