Vikram Bhawanishankar Sharma vs Srei Infrastructure Finance Limited

National Company Law Appellate Tribunal1 February 2024Ashok Bhushan

CitationCompany Appeal (AT) (Insolvency) No. 694 of 2023

Ratio decidendi

The rule this decision rests on

A financial creditor's Section 7 application under the Insolvency and Bankruptcy Code, 2016 is established where the debt and default are proved by the loan agreements, the acknowledgment of the debt in the corporate debtor's balance sheet, and the acknowledgment of the debt in the subsequent Framework Agreement, with the amount claimed being the amount so proved. Where the Adjudicating Authority has returned a finding of debt and default, and no error is shown in that finding, the Appellate Tribunal will not interfere in the exercise of its appellate jurisdiction and the appeal is to be dismissed.

Written by Miss Lucy from the judgment below, not taken from a headnote.

Judgment

As delivered

NATIONAL COMPANY LAW APPELLATE TRIBUNALPRINCIPAL BENCH, NEW DELHICompany Appeal (AT) (Insolvency) No. 694 of 2023IN THE MATTER OF:

Vikram Bhawanishankar Sharma Member of The ...Appellant(s) Suspended Board of Directors of Supreme Vasai Bhiwandi Tollways Pvt. Ltd.

Versus

SREI Infrastructure Finance Ltd. & Anr. ...Respondent(s)

Present: For Appellant : Mr. Abhirup Dasgupta and Jayashree Shukla Dasgupta, Advocates For Respondents : Mr. Siddhant Buxy, Ms. Priyanka Vora, Mr. Ativ Patel, Mr. Darshit Dave, Mr. Arijeet Shukla, Mr. Anirban Bhattacharya, Advocates

ORDER

(Hybrid Mode)

01.02.2024: This Appeal has been filed against the Order dated 22nd

December, 2022 by which order Section 7 application was admitted.

2. When the Appeal was entertained, an Interim Order was passed in the

Appeal by this Tribunal to the effect that "any proceedings shall abide by the

result of the Appeal".

3. The Adjudicating Authority has admitted Section 7 Application

returning a finding that there is a debt and default. The Financial Creditor

was successful in proving the debt and default. In paragraph 17, following

was observed:

"17. In the instant matter, the occurrence of default is evidenced by Loan Agreement No. SRE567 dated 2

29.09.2015 and Loan Agreement No. SRE607 dated 30.03.2016. Further, the debt has been acknowledged in the balance sheet of the corporate debtor for the year ending 31.03.2017. Similarly, in tl1e Framework Agreement (referred to as MOU by the corporate debtor) dated 29.03.2019, debt has been acknowledged. Therefore, debt and default is proved with respect to the amount claimed in part IV of Form I."

4. We are of the view that there being finding of the debt and default, there

is no error in the impugned order which can be interfered by exercising the

appellate jurisdiction. Appeal is dismissed.

5. Learned Counsel for the Appellant seeks for an adjournment.

6. Appeal has been adjourned on several occasion therefore we are not

inclined to entertain the prayer of the Appellant. Prayer is rejected.

[Justice Ashok Bhushan] Chairperson

[Barun Mitra] Member (Technical)

[Arun Baroka] Member (Technical)

Basant/nn

Company Appeal (AT) (Insolvency) No.694/2023

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