X Ltd., a corporate debtor owes to Y Ltd. ₹100 lakh on account of unsecured loan @ 10% per annum and ₹35 lakh towards raw material supplied by Y Ltd. Determine status of Y Ltd. in relation to the corporate debtor. Also,

Operational Creditors: An operational creditor means a person to whom an operational debt is owed and includes any person to whom such debt has been legally assigned or transferred. They are suppliers of goods or services to any company or operational debtor. Financial Creditors: Financial creditor is any person to whom a financial debt is owned and includes a person to whom such debt has been legally assigned or transferred to. According to the provisions of the Insolvency and Bankruptcy Code, 2016 , Y Ltd. will be classified as financial as well as operational creditor in relation to X Ltd., a corporate debtor. Thus, according to section 21(4) of the Code , Y Ltd. shall be included in the committee of creditors and shall have a voting share proportionate to the extent of financial debts owed to such creditor. In the instant case, to the extent of ₹100 lakh, Y Ltd. being a financial creditor.