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CS Professional · Corporate Restructuring, Valuation and Insolvency · Application for Corporate Insolvency Resolution Process

Kaveri Packaging, an operational creditor, files a Section 9 application against Orion Foods Ltd. Its filing includes the demand notice and an affidavit that no dispute notice was received, but it cannot furnish any certificate from its bank or any information utility record. Which is correct?

The bank certificate and information utility record need be furnished only if available. Kaveri has supplied the demand notice and the required affidavit, so lacking the other two documents does not by itself make the application incomplete.

  1. AThe application is incomplete and must be rejected without any chance to rectify
  2. BThe application cannot be admitted because both documents are mandatory in all cases
  3. CThe bank certificate and the information utility record are required only if available, so their absence alone does not make the application incompleteCorrect
  4. DThe affidavit may be dispensed with if the bank certificate is furnished

Explanation

Section 9(3)(c) and (d) require the bank certificate and information utility record only 'if available'. The demand notice and the affidavit under (a) and (b) are the mandatory items. So absence of the available-only documents does not by itself make the application incomplete. Option on dispensing with the affidavit is wrong as the affidavit is required.

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