Amit Agarwal vs Sparsh Baldev Exports Private Limited

Mr. Amit Agarwal ...Appellant

Versus

M/s. Sparsh Baldev Exports Pvt. Ltd. ...Respondent

Present: For Appellant: Mr. S. Rajagopalan, Advocate For Respondent: Mr. Ashish Anand B. and Mr. Paramhans Sahani, Advocates

ORDER

17.08.2022: Heard Learned Counsel for the Appellant.

2. This Appeal has been filed against the Order dated 06th May, 2022 by

which Order the Adjudicating Authority has rejected the Section 9 Application

filed by the Appellant as hit by Section 10A of the Insolvency and Bankruptcy

Code, 2016 (IBC in short).

3. The Invoices were issued by the Appellant dated 12th March, 2021, such

details have been mentioned in Part-IV of the Section 9 Application. The

Appellant has claimed amount due under four invoices as well as interest for

the period of 108 days which computation is at page 109 which is to the

following effect:

COMPUTATION SHEET Sl. Date of Invoice Descriptio Quantity Rate Total Value Total No Invoice Number n of in tonnes per in Rupees Value in Material Metric (excluding Rupees Tonne GST) Including GST 1 12-03- 601 Iron Ore 1999.95 2800 5599860 5884263 2021 Fines -2-

2 12-03- 602 Iron Ore 1100 2800 3080000 3236426 2021 Fines 3 12-03- 603 Iron Ore 2299.99 2800 6439972 6767043 2021 Fines 4 12-03- 604 Iron Ore 924.34 2800 2588152 2719598 2021 Fines Total Amount in Rupees 18607330 Total amount in words rupees One Crore Eighty Six Lakhs Seven Thousand Three Hundred and Thirty only Interest Computation From To date Number Amount Rate of Interest GST @ Total date of Days Outstan interest amount 18% for Value in Delay ding as per in interest Rupees of form annum rupees amount including date GST 12-03- 28-06- 108 186073 0.1794 960764 172938 1133702 2021 2021 30 Total interest amount as of 28.06.2021 in rupees 1133702 Total interest amount in words rupees eleven lakhs thirty three thousand seven hundred and two only

4. Learned Counsel for the Appellant submits that the date of invoice shall

not be date of default hence it was not barred by Section 10A of the Code.

5. We have heard the submissions of Learned Counsel for the Appellant

and have perused the record.

6. When the Appellant in the Application is claiming interest from the date

12th March, 2021, the amount became payable on 12th March, 2021 as per

computation of the Appellant himself. The adding of interest of 108 days with

effect from 12th March, 2021 makes it clear that date of default in payment is

treated as 12th March, 2021 which is covered by the bar under Section 10A.

Company Appeal (AT) (Insolvency) No. 956/2022 -3-

7. We are of the view that the Adjudicating Authority did not commit any

error in rejecting the Section 9 Application as barred by Section 10A. The

Appeal is dismissed.

[Justice Ashok Bhushan] Chairperson

[Mr. Barun Mitra] Member (Technical)

Basant/nn Company Appeal (AT) (Insolvency) No. 956/2022