The Special Bench of the National Company Law Tribunal (NCLT) at Indore has admitted a Section 7 application under Insolvency and Bankruptcy Code (IBC), 2016 and initiated the Corporate Insolvency Resolution Process (CIRP) against Labhanshi Multitrade Private Limited, holding that the existence of a financial debt and default was undisputed.
The application was filed by the Financial Creditor, Avanti Finance Private Limited, an NBFC, against the Corporate Debtor, Labhanshi Multitrade Private Limited, which is engaged in the business of agricultural commodities. The petition stemmed from a default on a loan of Rs. 2 crore, with the outstanding amount claimed to be over Rs. 1.17 crore as of July 2024. The date of default…