Right to Payment or the right to remedy for breach of contract would give rise to a debt and Liquidator has to admit the claim against the same – Meja Urja Nigam Pvt. Ltd. Vs. Mr. Sutanu Sinha, Liquidator of IVRCL Ltd. – NCLT Hyderabad Bench
Hon’ble NCLT Hyderabad Bench held that:
(i) The right to payment or the right to remedy for breach of contract would give rise to a debt, existence of which once established, result in a claim that the liquidator has to admit the same.
(ii) This discretion contrasts with the more limited authority granted to the Resolution Professional (RP) during the verification of claims in CIRP proceedings.