Supreme Court Clarifies Evidentiary Value of Information Utility Records and Section 7 IBC Default Threshold

sketch of the Supreme Court of India
Case
DEEPAK RAHEJA v. OMKARA ASSETS RECONSTRUCTION PRIVATE LTD. (Supreme Court of India, 15-10-2026)
Law
Insolvency and Bankruptcy Code, Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, Indian Evidence Act, Bharatiya Sakshya Adhiniyam, Code of Civil Procedure.

Highlights of the Judgment:

  • Detailed exposition of the summary evidentiary threshold required to establish a financial default under Section 7 of the Insolvency and Bankruptcy Code, 2016.
  • Analysis of the statutory hierarchy of proof, emphasizing the presumption of high evidentiary value attached to authenticated Information Utility records.
  • Examination of why corporate profitability, high EBITDA, and bookkeeping disputes cannot negate a static historical default or delay CIRP admission.
  • Application of issue estoppel to bar collateral challenges against valid debt assignments under Section 5(7).