2022 (7) TMI 459 - Tri - Insolvency and Bankruptcy

Maintainability of application - initiation of CIRP - Corporate Debtor failed to make repayment of its dues - Operational Creditors - existence of debt and dispute or not - HELD THAT - The Corporate Debtor has paid the full amount agreed between the parties which was acknowledged by the Operational Creditor in its Whatsapp message dated 9th February, 2021. There are no due or outstanding to the Corporate Debtor and the denial of the Operational Creditor at this stage after receipt of the amount is just to extract more money from the Corporate Debtor and that is the reason why the Operational Creditor did not sign the terms of settlement sent to it by the Corporate Debtor. If the operational creditor had acknowledged all other whatsapp msg, and did not deny having received them, there was no question of disowning the one in which it admits all the amount received, particularly when all the whatsapp msgs were sent from the same mobile no. This conduct of the operational creditor puts a big question mark on the fair conduct of the operational creditor. This petition cannot survive any longer and is, therefore, dismissed.

Issues Involved:
1. Initiation of Corporate Insolvency Resolution Process (CIRP)
2. Settlement of Debt and Interest Claims
3. Validity of Settlement Agreement and WhatsApp Communications
4. Conduct of Operational Creditor

Issue-wise Detailed Analysis:

1. Initiation of Corporate Insolvency Resolution Process (CIRP):
The petition was filed under Section 9 of the Insolvency and Bankruptcy Code, 2016, by the Operational Creditor seeking initiation of CIRP against the Corporate Debtor. The Operational Creditor claimed an outstanding amount of INR 3,48,35,146.68, which included INR 2,73,26,052.68 as the principal amount and INR 75,09,094 as interest at 18% per annum.

2. Settlement of Debt and Interest Claims:
The Corporate Debtor submitted that both parties had amicably settled the matter at INR 2,73,26,052.68 as full and final settlement, waiving the interest portion. The Corporate Debtor provided evidence of payments made in several tranches, totaling the agreed principal amount. The Operational Creditor, however, contested this, claiming that no such settlement was executed and that the balance interest amount of INR 75,09,094 was still due.

3. Validity of Settlement Agreement and WhatsApp Communications:
The Corporate Debtor presented WhatsApp messages and letters to support their claim of settlement. A message dated 9th February 2021 from the Operational Creditor acknowledged the receipt of INR 2,73,26,052.68 and waived the interest amount. The Operational Creditor denied this message but did not deny other messages sent from the same number. The tribunal found the WhatsApp message acknowledging the settlement credible and indicative of the Operational Creditor's acceptance of the settlement terms.

4. Conduct of Operational Creditor:
The tribunal noted that the Operational Creditor's conduct raised questions about their fairness. Despite acknowledging other WhatsApp messages, the Operational Creditor disowned the one confirming receipt of the full settlement amount. This inconsistency suggested an attempt to extract more money from the Corporate Debtor.

Conclusion:
The tribunal concluded that the Corporate Debtor had paid the full amount agreed upon and that the Operational Creditor's denial of the settlement was unfounded. The petition was dismissed, and the tribunal emphasized that the Operational Creditor's conduct was questionable.

Final Order:
The petition (C.P. (IB) No. 2110/KB/2019) was dismissed, and the tribunal ordered that certified copies of the order be issued to all concerned parties upon compliance with requisite formalities.

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