PP Constructions Ltd. (PPCL) is a supplier of building material to MN Builders Ltd. (MNBL). MNBL owes ₹ 1.50 crore to PPCL. Due to slowdown in the economy, MNBL fails to recover its dues from the customers as per the pay

As per Section 9 of Insolvency and Bankruptcy Code, 2016, PP Constructions Ltd. (PPCL) being the Operational Creditor may follow the following procedure to initiate Corporate Insolvency Resolution Process against MNBL. An operational creditor may, on the occurrence of a default, deliver a demand notice of unpaid operational debtor copy of an invoice demanding payment of the amount involved in the default to the corporate debtor in such form and manner as may be prescribed. The corporate debtor shall, within a period of ten days of the receipt of the demand notice or copy of the invoice bring to the notice of the operational creditor- existence of a dispute, if any, or record of the pendency of the suit or arbitration proceedings filed before the receipt of such notice or invoice in relation to such dispute; the payment of unpaid operational debt- by sending an attested copy of the record of electronic transfer of the unpaid amount from the bank account of the corporate debtor; or by sending an attested copy of record that the operational creditor has encashed a cheque issued by the corporate debtor. A "demand notice" means a notice served by an operational creditor to the corporate debtor demanding payment of the operational debt in respect of which the default has occurred. After the expiry of the period of ten days from the date of delivery of the notice or invoice demanding payment, if the operational creditor does not receive payment from the corporate debtor or notice of the dispute, the operational creditor may file an application before the Adjudicating Authority for initiating a corporate insolvency resolution process. The operational creditor shall, along with the application furnish- a copy of the invoice demanding payment or demand notice delivered by the operational creditor to the corporate debtor; an affidavit to the effect that there is no notice given by the corporate debtor relating to a dispute of the unpaid operational debt; a copy of the certificate from the financial institutions maintaining accounts of the operational creditor confirming that there is no payment of an unpaid operational debt by the corporate debtor, if available; a copy of any record with information utility confirming that there is no payment of an unpaid operational debt by the corporate debtor, if available; and any other proof confirming that there is no payment of any unpaid operational debt by the corporate debtor or such other information, as may be prescribed.