NCLT Delhi Upholds Demand Notice Sent to Unregistered Email Used in Prior Business Dealings

The National Company Law Tribunal (NCLT), New Delhi, held that a demand notice under the Insolvency and Bankruptcy Code was validly served even though it was sent to an unregistered email ID.

The Tribunal observed that the same email address had been consistently used in prior business dealings between the parties for sharing invoices and communications, and this fact was not disputed by the corporate debtor.

Rejecting objections regarding defective service, the NCLT admitted the insolvency plea filed by Mangal Sales Corporation against Prolific Papers Pvt. Ltd., holding that operational debt and default were clearly established and no pre-existing dispute existed.

[Mangal Sales Corporation v. M/s Prolific Papers Pvt. Ltd. & Ors.]