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Judgment
Company Petition No. CP (IB) 613/7/NCLT/AHM/2019 filed on 09.08.2019 by State Bank of India, under Section 7 of The Insolvency and Bankruptcy Code, 2016 with claim amount of Rs. 59.10 crores was placed for consideration on 22.10.2019 before Divisional Bench (Bench 1) comprising of Shri Harihar Prakash Chaturvedi, Member (Judicial) and Shri Prasanta Kumar Mohanty, Member (Technical) wherein Adjudicating Authority & Member (Judicial) rejected the application on the ground of limitation because the respondent company was declared as NPA on 16.04.2015 and the petition is filed on 09.08.2019. The Hon'ble Member (Technical) deferred the decision taken by Hon'ble Member (Judicial) consequent upon which the matter is referred to this bench for disposal vide notification No. 10/03/2020NCLT dated 11th March 2020.
Findings:
Perused the order passed by the Division bench and the documents available on record.
Although, in the present matter, no reply or objection has been filed by the corporate debtor, yet in order to trigger the Corporate Insolvency Resolution Process (CIRP) in respect of the corporate debtor, the issue of limitation has to be considered as the date of default occurred is from the date of (declaration) NPA i.e. 16.04.2015. Therefore, the limitation shall start from such date or date of recall notice issued to the borrower, i.e. on 10.07.2015, as per Article 137 of the Limitation Act, while the present I.B. Petition is filed on 09.08.2019 before this Adjudicating Authority.
In view of what is discussed above, this Adjudicating Authority is of the considered view that the instant application is barred by limitation by concurring the view taken by Hon'ble Member (J), Mr. Harihar Prakash Chaturvedi. Instant petition stands disposed of accordingly with no order as to costs.
Communicate a copy of this order to the Applicant/Financial Creditor, Respondent/Corporate Debtor.