The provisions of the Code are essentially intended to bring the Corporate Debtor to its feet and are not of money recovery proceedings – M/s Invent Asset Securitisation and Reconstruction Pvt. Ltd Vs. M/s Girnar Fibres Ltd. – Supreme Court

Hon’ble Supreme Court upheld the decision of NCLAT holding that time and again, it has been expressed and explained by this Court that the provisions of the Code are essentially intended to bring the corporate debtor to its feet and are not of money recovery proceedings as such. The intent of the appellant had only been to invoke the provisions of the Code so as to enforce recovery against the corporate debtor. It also observes that the documents towards restructuring of the loan and the alleged revival letter etc. cannot enure to the benefit of the appellant so far as the application under Section 7 of the Code is concerned.

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