An application filed by Operational Creditor under Section 9 of IBC cannot be said to be non-maintainable on the ground that Corporate Debtor is a going concern – Mukul Agarwal, Ex-Director Greatech Telecom Technologies Pvt. Ltd. Vs. Royale Resinex Pvt. Ltd. – NCLAT New Delhi

NCLAT holds that the learned Counsel for the Appellant that Corporate Debtor is a going concern, hence, the Application under Section 9 was not maintainable. We do not find any substance in this submission. Even when a going concern is unable to discharge its debt, the Operational Creditor is entitled to invoke Section 9, hence, the Application filed by Operational Creditor under Section 9 cannot be said to be non-maintainable on the ground that Corporate Debtor is a going concern.

An application filed by Operational Creditor under Section 9 of IBC cannot be said to be non-maintainable on the ground that Corporate Debtor is a going concern – Mukul Agarwal, Ex-Director Greatech Telecom Technologies Pvt. Ltd. Vs. Royale Resinex Pvt. Ltd. – NCLAT New Delhi Read Post »