- (1.) The Petitioner filed corporate debtor petition under section 10 of the Insolvency Bankruptcy Code, stating that debtor company committed default in repaying debt amounting to Rs. 38,35,31,000/- as on 03.02.2015. The company being unable to discharge its debts, it has sought for declaration of moratorium with consequential directions under this Code. The Petitioner has submitted that financial creditor of the company that is J & K Bank sanctioned a loan facility for an amount of Rs. 41.50 crores under different heads with sanctioning/renewal of facilities vide letter dated 15.06.2013. As the company failed to discharge this liability, the financial creditor, on 3.2.2015, issued a notice u/s. 13(2) of the SARFAESI Act stating that the debtor company is unable to discharge its liability, this liability, the Petitioner has shown.
(2.) In lieu of the losses mounting upon the company and unable to get along, the petitioner company initiated proceedings before BIFR for referring it as sick company, in pursuance of it, BIFR declared the petitioner as sick company by reference No. 48/2015. Since, the company failed to discharge loan facility given by J & K Bank, the financial creditor assigned this loan to Asset Care and Reconstruction Enterprises Ltd. for Rs. 19 crores by transferring the loan and rights of J & K Bank over the assets of the company to ARC Ltd. on execution of deed of assignment on 02.02.2017, which was to put to the acknowledgement of the company on 03.02.2017.
(3.) In compliance of the requirements under section 10 of this Code, the Petitioner mentioned the financial creditors details and operational creditors details along with addresses, other correspondence and also the details of the debt raised and the amount in default. To prove that charge has been registered before the ROC, this debtor company filed a copy of registration of charge dated 25.09.2013 issued by ROC, Mumbai.;