NCLT Hyderabad dismissed PEC Limited's application seeking classification of its Rs 171.80 crore claim against NCS Sugars as a financial debt.
The tribunal ruled the debt originated from a commercial sugar import and sale transaction, not a financial accommodation, making it an operational debt.
PEC's claim was based on a 2018 arbitral award for unpaid amounts related to letters of credit and buyer's credit facilities for sugar imports.
The Resolution Professional had initially rejected PEC's financial creditor claim, a decision upheld by the NCLT after detailed analysis.