M/S. Shree Bansi Metal And Alloys Pvt Ltd vs M/S. S.S Alloys Products Pvt. Ltd
- CitationCompany Appeal (AT) (Ins) No. 06 of 2022
Ratio decidendi
The rule this decision rests on
An acknowledgment of a debt made after the limitation period has already expired does not revive or extend the limitation period, and an operational creditor's Section 9 application is liable to be rejected as barred by time where the last transaction and any acknowledgment both fall outside the prescribed period.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
NATIONAL COMPANY LAW APPELLATE TRIBUNAL, PRINCIPAL BENCH, NEW DELHI Company Appeal (AT) (Ins) No. 06 of 2022 IN THE MATTER OF: M/s Shree Bansi Metal and Alloys Pvt. Ltd. ...Appellant Vs. M/s S.S. Alloys Products Pvt. Ltd. ...Respondent
Present: For Appellant: Mr. Shakil Shaikh, Advocate For Respondent: None
ORDER
(Through Virtual Mode)
20.01.2022 : Heard Learned Counsel for the Appellant.
This appeal has been filed against the judgement and order dated
20.04.2021 passed by the 'Adjudicating Authority' by which order the Section 9
application filed by the Applicant has been rejected.
2. The Appellant claiming to be the 'Operational Creditor' filed an application
claiming an amount of Rs. 24,71,337 plus interest. The 'Adjudicating Authority'
rejected the application as 'barred by time'.
3. Learned Counsel for the Appellant submits that although the last date of
transaction was 17.04.2013 but there was an acknowledgement by confirmation
of Account on 07.09.2019 as well as on 01.04.2018. He submits that balance
confirmation on 01.04.2018 filed at page-58 of the paper book has not been
considered by the 'Adjudicating Authority'. He submits that it is well settled that
from the date of acknowledgment there shall be a fresh period of limitation.
We have considered the submissions of both the parties and perused the
records.
Company Appeal (AT) (Ins) No. 06 of 2022 1
4. In the impugned order, the finding is recorded that last date of transaction
is 17.04.2013 and the acknowledgement of balance confirmation which has been
claimed by the Appellant is 01.04.2018 and 07.09.2019. Even if the said balance
confirmation are treated as acknowledgement, the said acknowledgement been
done after the expiry of limitation from 17.04.2013 shall not give any fresh period
of limitation to the Appellant.
5. We do not find any error in the order of the 'Adjudicating Authority' in
rejecting the application as 'barred by time'. There is no merit in the appeal, the
appeal is dismissed.
[Justice Ashok Bhushan] Chairperson
[Dr. Alok Srivastava] Member (Technical)
ss/nn
Company Appeal (AT) (Ins) No. 06 of 2022 2
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