3. In Vidyasagar Parchuri v. State Bank of India (Company Appeal (At) (Ch) (Ins.) No. 184 of 2023), the NCLAT noted that neither a dispute about the quantum of payment nor the decision of a financial creditor to approach a Debt Recovery Tribunal for appropriate relief affects the right of a financial creditor to initiate appropriate proceedings under the Code. It went on to also observe that where the debt amount is more than as prescribed under the Code, the Adjudicating Authority is not required to enquire into the reason for inability of the corporate debtor to pay its debt.
In the aforementioned case, the NCLAT has further noted that, where the balance sheet is signed by the directors several months after the balance sheet date, the acknowledgment of debt would relate to the date of the balance sheet as opposed to the date on which the directors had signed it.
Source: Barandbench
