NCLAT Chennai upholds NCLT Bangalore's order dismissing M/s. Geeta Sugars' Section 9 insolvency petition against M/s. The Indian Sugars and Refiners Limited.
The appeal concerned a disputed claim of Rs 21.08 lakh for advance payment against an oral sugar supply agreement dated 21 April 2015.
Tribunal ruled the claim was time-barred under Limitation Act and involved a pre-existing dispute, thus not qualifying as an 'undisputed debt' under IBC.
The judgment cited Supreme Court precedents in Mobilox Innovations and Innoventive Industries cases on the inadmissibility of disputed claims in insolvency.