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2020 (3) TMI 704 - Tri - Insolvency and BankruptcyMaintainability of petition - initiation of CIRP - Corporate Debtor failed to make repayment of its debt - time limitation as applicable to Right to Sue - HELD THAT:- While going through the documents Tribunal observed that based on the balance sheet of corporate debtor as on 31.12.2006 filed an application under section 15(1) of Sick Industrial Companies Act, 1985 before BIFR in January 2007 which was admitted as case no. 09/2007 and was pending before BIFR till the SICA Act,1985, was repealed and in view of this the applicant could not take any steps against the corporate debtor for recovery. Further SICA has been repealed by way of a notification dated 25.11.2016 published by the Government of India with effect from 01.12.2016 and thus the BIFR established under the provisions of the SICA was also abolished. As per section 22(5) of SICA (since repealed), period from 15.01.2007 to 30.11.2016 is to be excluded for the purpose of limitation. Between 2004 to 2007 it is also seen that dispute settlement was arrived, however the same stood withdrawn subsequently. Thus "Right to Sue Survives" and the present petition being filed in December 2018 is within limitation, being within three years from the date, the cause of action for recovery proceedings arose. This Tribunal is inclined to admit this petition and initiate CIRP of the Respondent - application admitted - moratorium is declared.
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