Section 7 IBC application not barred by limitation even if filed 3 years after Corporate Debtor's loan account declared as NPA: Supreme Court

However, this is only applicable if there was an acknowledgement of the debt by the Corporate Debtor before expiry of the period of limitation of three years.
Indira Banerjee and V Ramasubramanian
Indira Banerjee and V Ramasubramanian

The Supreme Court on Wednesday held that an application under Section 7 of the Insolvency and Bankruptcy Code (IBC) would not be barred by limitation, on the ground that it was filed beyond a period of three years from the date of declaration of the loan account of the Corporate Debtor as Non-Performing Asset (NPA) [Dena Bank vs C Shivakumar Reddy].

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