Abatement of Original Suit before DRT will not affect the proceeding in NCLT under IBC as the dues still remain outstanding- Babasaheb Sawalaram Chaware Vs. Punjab National Bank – NCLAT
NCLAT held that Appellant all the time admitted and acknowledged the dues and making some payments kept seeking time. Appellant has vaguely pleaded coercion, force and pressure in getting executed OTS documents. There are no particulars to spell out and no material showing coercion, force or pressure. Rather it appears Appellant consumed time by such constant offers. The correspondence referred has Acknowledgments of dues covered under section 18 of the Limitation Act. The dues outstanding relied on are not hit by limitation. Abatement of Original Suit before DRT will not affect the proceeding in NCLT under IBC as the dues still remain outstanding. As such the Adjudicating Authority (NCLT) rightly admitted the application. We find no substance in the Appeal and arguments raised for the Appellant.
