When Acknowledgment Of Debt By Repeated One-Time Settlement Proposals Is Not Controverted, Petition U/S 7 Of IBC Can Be Entertained: NCLAT

The NCLAT entertained a petition under Section 7 of the IBC, noting that the acknowledgment of debt by repeated one-time settlement proposals was not controverted. The appellate tribunal considered the corporate debtor's repeated proposals for settling the debt as an implicit acknowledgment of the liability. Since this acknowledgment was not disputed, the NCLAT found sufficient grounds to admit the insolvency petition based on the outstanding debt.