Interest Mentioned In Unsigned Invoice Cannot Be Included In Calculation Of Threshold Limit U/S 4 Of IBC: NCLAT New Delhi

The NCLAT New Delhi held that interest mentioned in an unsigned invoice cannot be included in the calculation of the threshold limit under Section 4 of the IBC. Section 4 specifies the minimum threshold of debt for initiating insolvency proceedings. The appellate tribunal reasoned that an unsigned invoice does not constitute a legally valid document to claim interest for the purpose of meeting the IBC's financial threshold.