The Allahabad high court held that protection of Insolvency Bankruptcy Code (IBC), 2016 is only applicable to corporate debtors and not to persons who draw cheques in Individual capacity. The court allowed the applicants to raise all contentions, legal or factual, before the court below while contesting the proceedings.
A complaint was lodged by O.P. No.2 against the applicant on 20.11.2023 under Section 138 read with Section 142 of N.I. Act, with an allegation that a certain amount of loan was being advanced to the Firm M/s Navyug Industries (partnership firm) and subsequently, said firm became a Company in the name of Newgen Ecotronics Pvt. Ltd. The applicant, who happened to be the partner of the firm and the Director…