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2021 (5) TMI 734 - NATIONAL COMPANY LAW TRIBUNAL , MUMBAI BENCHCondonation of delay in filing application - Liquidation of Corporate Debtor - Section 42 of IBC - HELD THAT:- ‘Debt’ is defined u/s 3(11) of the Code as a liability or obligation is respect of a claim which is due from any person and inter alia includes an operational debt. ‘Operational Debt’ defined u/s 5(21) of the Code inter alia means a claim in respect of provision of goods or services. For the present purpose ‘claim’ would mean right to remedy for breach of contract under any law for the time being in force if such breach gives right to payment. The breach on the part of the Corporate Debtor gave rise to a right to the Applicant to payment. Meanwhile however, the Corporate Debtor issued another cheque dated 15.12.2002 for the balance amount of ₹. 4,62,066/-. It was dishonoured by the bank on 05.06.2003. The said claim amount of ₹. 4,62,066/- thus became due and payable with effect from 05.06.2003. It could only be realized in terms of Article 31 of the Limitation Act, within three years thereof. The Applicant did not take any action/step for realization of the amount within that period nor did he issue any demand for the said amount. Considering the broad sentiments expressed by the Hon’ble Courts with respect to adjudication of claim on merits and the fact that the Applicant was a retired employee, it was possible that he could not pursue for recovery of his claim from the Corporate Debtor in right earnest. We feel it appropriate that the interest of justice would be best served by invoking the inherent powers of this Authority available under Rule 11 of the NCLT Rules, 2016. Application allowed.
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