In Brief
An erstwhile employee of a hotel company sought Rs.1.87 crores in unpaid salary arrears from 1998 to 2013 by filing an insolvency petition under Section 9 of the IBC. The company contested the claim as time-barred, but the employee presented acknowledgement letters, particularly one from 2014 listing Rs.1.06 crores due. The National Company Law Tribunal admitted the petition, but the appellate tribunal reversed this on grounds of delay and dispute. The Supreme Court held that acknowledgements of liability negate any dispute and that claims filed within three years of the last acknowledgement are not time-barred. The Court restored the NCLT order and allowed the appeal.
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