Flexi Plast Industries vs Shiva Lokenath Rice Mills Private ...

Flexi Plast Industries ...Appellant

Versus

Shiv Lokna Thrice Mills Pvt. Ltd. ...Respondent

Present: For Appellant: Mr. Rishabh Govila, Advocate For Respondent:

ORDER

(Virtual Mode)

27.07.2022: Heard Learned Counsel for the Appellant.

2. Delay in re-filing this Appeal is condoned. This Appeal has been filed

against the Order dated 22nd March, 2022 by which Application filed by the

Appellant under Section 9 of the Insolvency and Bankruptcy Code, 2016 (IBC

in short) has been dismissed. The Appellant has filed the Section 9 Application

of the Code on 28th October, 2021 for claiming debt of Rs. 14,15,672/- before

the Adjudicating Authority which was dismissed on 22nd March, 2020

observing that the Application does not fulfil the threshold limit which has

been made operational with effect from 24th March, 2020.

3. Learned Counsel for the Appellant sought to contend that since the

Demand Notice was issued on 05th March, 2020, hence his Application was

maintainable.

-2-

4. The Notification dated 24th March, 2020 making amendment in

threshold does not carve out any exception with regard to the Demand Notice

as contended by Learned Counsel for the Appellant. Notification dated 24th

March, 2020 will become enforceable from the date it has come into operation

and Application filed thereafter has to fulfil the threshold as provided in the

Notification.

5. We thus do not find any error in the Order of the Adjudicating Authority

dismissing the Section 9 Application. The Appeal is dismissed.

[Justice Ashok Bhushan] Chairperson

[Justice M. Satayanarayana Murthy] Member (Judicial)

[Mr. Barun Mitra] Member (Technical)

Basant/nn

Company Appeal (AT) (Insolvency) No. 798/2022