TMI Blog2018 (5) TMI 175X X X X Extracts X X X X X X X X Extracts X X X X ..... ase it is incomplete, the Adjudicating Authority will grant time to the Appellant to remove the defects. If any statement made in Form- 6 is misleading, it will be open to the Adjudicating Authority to pass appropriate order in accordance with law. The appeal is allowed with aforesaid observation. - Company Appeal(AT)(Insolvency) No. 02 of 2018 - - - Dated:- 8-3-2018 - S.J. Mukhopadhaya And Bansi Lal Bhat, JJ. For Appellant: Mr. K. Dutta, Mr. Ashutosh Gupta, Mr. Nishant Jain and Mr. Gaurav Rana, Advocates For Respondent: Mr. Vikalp Mudgal, Advocate, Ms. Manisha Chaudhury, Ms. Avanti Chandela, Mr. Nahush Jain, Mr. Rishi Raj and Ms. Kavita Singh, Advocates for Respondent ORDER The Appellant (Corporate Applicant) p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... time to remove the defect, if any. It is submitted that the Application under Section 10 of I B Code cannot be rejected on extraneous grounds beyond the scope of I B Code . 3. Learned Counsel appearing on behalf of 1st Respondent, Canara Bank, submits that the Appellant was requested to file additional affidavit to show that the assets of the company it has sold to the close relatives of Directors prior to the filing of application under Section 10 of I B Code . However, we find that there is no such stipulation made in Form-6, which is the format of application under Section 10 of I B Code . The I B Code or Rules or Regulations do not stipulate to provide details of the lands sold or assets transferred prior to the filin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ithin 7 days of receipt of a notice from the adjudicating authority . 21. In an application under Section 10, the financial creditor or operational creditor , may dispute that there is no default or that debt is not due and is not payable in law or in fact. They may also oppose admission on the ground that the Corporate Applicant is not eligible to make application in view of ineligibility under Section 11 of the I B Code. The Adjudicating Authority on hearing the parties and on perusal of record, if satisfied that there is a debt and default has occurred and the Corporate Applicant is not ineligible under Section 11, the Adjudicating Authority has no option but to admit the application, unless it is incomplete, in which case the Co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ich was approved twelve months before the date of making of an application under the said Chapter; or that the corporate debtor is one in respect of whom a liquidation order has already been made can be a ground to reject the application under Section 10 on the ground of suppression of fact/not come with clean hand. 25. Similarly, if any action has been taken by a Financial Creditor under Section 13(4) of the SARFAESI Act, 2002 against the Corporate Debtor or a suit is pending against Corporate Debtor under Section 19 of DRT Act, 1993 before a Debt Recovery Tribunal or appeal pending before the Debt Recovery Appellate Tribunal cannot be a ground to reject an application under Section 10, if the application is complete. 26. Any pro ..... X X X X Extracts X X X X X X X X Extracts X X X X
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