TMI Blog2018 (5) TMI 644X X X X Extracts X X X X X X X X Extracts X X X X ..... ction 7 of the ‘I&B Code’ cannot be rejected. We find no merit in this appeal. It is accordingly dismissed. - Company Appeal (AT) (Insolvency) No. 319 of 2017 - - - Dated:- 3-4-2018 - Mr. S. J. Mukhopadhaya, J. For The Appellant : Mr. S.N. Mukherjee, Senior Advocate with Mr. Pulkit Deora, Mr. Shaunak Mitra, Mr. Abishek Kumar, Mr. Abhimanyu Bhandari and Mr. Shivam Takiar, Advocates. For The Respondents : Mr. Gyanendra Kumar, Ms. Anuradha Mukherjee, Ms. Shikha Tandon, Ms. Stuti Bhatnagar, Advocates. Mr. Ajay Kumar Jain, Advocate for Respondent JUDGMENT SUDHANSU JYOTI MUKHOPADHAYA, J. This appeal has been preferred by Mr. Mahesh Kumar Sureka, Director of Varrasana Ispat Limited ( Corporate Debtor ) against ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... el appearing on behalf of the Appellant submitted that there is no default as per sub-section (12) of Section 3 as the Corporate Debtor was under restructuring and in view of the decision taken by the Joint Lenders Forum. But such submissions cannot be accepted, as it is not in dispute that there was debt and the Corporate Debtor failed to pay the debt to the Financial Creditor within the time, which resulted in default and giving rise to the proceeding under Section 19 of the DRT Act. So far as the decision of the Joint Lenders Forum is concerned, on such ground an application under Section 7 cannot be rejected, in view of decision of the Hon ble Supreme Court in M/s. Innoventive Industries Ltd. Vs. ICICI Bank Anr.─ 2017 S ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 28. When it comes to a financial creditor triggering the process, Section 7 becomes relevant. Under the explanation to Section 7(1), a default is in respect of a financial debt owed to any financial creditor of the corporate debtor- it need not be a debt owed to the applicant financial creditor. Under Section 7(2), an application is to be made under sub-section (1) in such form and manner as is prescribed, which takes us to the Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016. Under Rule 4, the application is made by a financial creditor in Form 1 accompanied by documents and records required therein. Form 1 is a detailed form in 5 parts, which requires particulars of the applicant in Part I, particular ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... such application, as the case may be. 5. In this case, as default is apparent and the Adjudicating Authority is satisfied that a default has occurred, the application being complete, the Adjudicating Authority rightly admitted the application. 6. Next, it was contended that the Authorised Representative of the Financial Creditor has not signed Form 1 of the Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016. However, it has been pointed out by the Respondent ( Financial Creditor ) that Form 1 has been signed by the Chief Executive Officer of the Bank. 7. In Palogix Infrastructure Private Limited Vs. ICICI Bank Limited─ Company Appeal (AT) (Insol.) No. 30 of 2017 , this Appellate Tribunal b ..... X X X X Extracts X X X X X X X X Extracts X X X X
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