Section 43(3) in Insolvency And Bankruptcy Code, 2016
(3)For the purposes of sub-section (2), a preference shall not include the following transfers-(a)transfer made in the ordinary course of the business or financial affairs of the corporate debtor or the transferee;(b)any transfer creating a security interest in property acquired by the corporate debtor to the extent that-(i)such security interest secures new value and was given at the time of or after the signing of a security agreement that contains a description of such property as security interest and was used by corporate debtor to acquire such property; and(ii)such transfer was registered with an information utility on or before thirty days after the corporate debtor receives possession of such property:Provided that any transfer made in pursuance of the order of a court shall not, preclude such transfer to be deemed as giving of preference by the corporate debtor.Explanation. - For the purpose of sub-section (3) of this section, "new value" means money or its worth in goods, services, or new credit, or release by the transferee of property previously transferred to such transferee in a transaction that is neither void nor voidable by the liquidator or the resolution professional under this Code, including proceeds of such property, but does not include a financial debt or operational debt substituted for existing financial debt or operational debt.
