IBC does not protect the interest or claim of a partner against another partner – Parul A Vora Vs. Kavya Buildcon Pvt. Ltd. – NCLT Mumbai Bench
The Adjudicating Authority held that considering Section 5(7), Section 5 (8) read with Section 7 of IBC, when the Financial Creditor approaches this Adjudicating Authority under section 7 of the Code, the Financial Creditor must prove that the alleged loan amount was disbursed to Corporate Debtor and such disbursal was made for a consideration for time value of money. Lastly, the Financial Creditor must be able establish a default. Even though the Gammon India judgement is under Section 9 of the Code the ratio laid therein will also apply to the present petition under Section 7 of the Code. The AA rejected the petition and held that the IBC does not protect the interest or claim of the partner against another partner or the Firm as such though, the Financial Creditor may be entitled to the claims against the Corporate Debtor under any other law in force which may provide the legal recourse to the Financial Creditor.
