9911796707
TMI Blog2019 (8) TMI 1733X X X X Extracts X X X X X X X X Extracts X X X X ..... ion 35 (1) (k) of the Code the Liquidator herein is completely authorised to represent the Petitioner company before this Tribunal. So, the argument of the Corporate Debtor doesn t have any merit and is rejected. Whether there is any existence of dispute between the parties? - HELD THAT:- The Corporate Debtor had never even once raised a single shred of objection or dispute against the Petitioner in the past seven years about either quality of good or anything else. It was for the first time that the Corporate Debtor only after receiving a notice from the Petitioner started raising disputes - from prima facie it is clear that the dispute raised by the Corporate Debtor is patently feeble and is an assertion which is not supported by any evidence. This defence of the Corporate Debtor also has no merit and is therefore rejected. Thus, the Corporate Debtor defaulted in making the payment towards the liability to the Petitioner and the petition deserves to be admitted - application admitted - moratorium declared. - CP (IB) -3249/I&BP/MB/2018 - - - Dated:- 29-8-2019 - Hon ble Shri Bhaskara Pantula Mohan, Member (J) And Hon ble Shri Shyam Babu Gautam, Member (T) For t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 26,70,55,042.96 is due and payable. As per the Agreements the Petitioner was to supply the vehicles to the Corporate Debtor as per their requirements. The Corporate Debtor issued various work orders from time to time for supply of vehicles and it was agreed between the parties that the payment shall be made by the Corporate Debtor to the Petitioner on the basis of the full operating charges to be incurred in transporting of the said steel products. 5. The Petitioner issued various invoices on various dates in the name of the Corporate Debtor. However, the Corporate Debtor failed to repay outstanding amount to the Petitioner therefore, a legal notice under the same pretext was also sent by the Petitioner on 13.11.2017 seeking payment of the total outstanding due. A reply to the said notice was also sent by the Corporate Debtor on 31.12.2018. The Corporate Debtor in their reply denied all the claims of the Petitioner and informed that the Petitioner owed them huge damages on account of damage caused to steel products and delay in delivery. Further, it was also apprised by the Corporate Debtor in their reply that the Petitioner could not seek interest since the Agreement had no su ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the code. It is argued that all the communication by the Corporate Debtor such as reply, and sur-rejoinder as mentioned above is a patently feeble argument and therefore should not be considered. ORDER 9. We have heard the arguments of both the sides and have patently gone through the pleadings of the parties. We will therefore be dealing with all the objections raised on by one as follows: i. Whether the Petition is barred under Section 11 of the Code? The language of Section 11 is as follows: The following persons shall not be entitled to make an application to initiate corporate insolvency resolution process under this Chapter, namely: - (a) a corporate debtor undergoing a corporate insolvency resolution process; or (b) a corporate debtor having completed corporate insolvency resolution process twelve months preceding the date of making of the application; or (c) a corporate debtor or a financial creditor who has violated any of the terms of resolution plan which was approved twelve months before the date of making of an application under this Chapter; or (d) a corporate debtor in respect of whom a liquidation order has been made Explanatio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... orporate insolvency resolution process. This ensures that corporate debtors cannot have repeated recourse to the corporate insolvency resolution process in order to delay repayment of debts due or to keep assets out of the reach of creditors. A corporate debtor or a financial creditor who has violated any of the terms of the resolution plan that was approved twelve months before making an application for initiating the process is also not entitled to make an application for initiating the corporate insolvency resolution process again. In addition to ensuring compliance with the terms of the resolution plan, this would also ensure that corporate debtors or financial creditors do not abuse the corporate insolvency resolution process for extraneous considerations. Lastly, a corporate debtor in respect of which a liquidation order has been passed is not allowed to initiate the insolvency resolution process again. This is to ensure finality of the liquidation order. A bare reading of the above note makes it crystal clear that, the intent of the legislature was to stop re-filing of Insolvency proceedings against the same corporate Debtor again and again. This is clearly now ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d Bankruptcy Code admits this Petition declaring moratorium with the directions as mentioned below: (a) That this Bench hereby prohibits the institution of suits or continuation of pending suits or proceedings against the Corporate Debtor including execution of any judgment, decree or order in any court of law, tribunal, arbitration panel or other authority; transferring, encumbering, alienating or disposing of by the corporate debtor any of its assets or any legal right or beneficial interest therein; any action to foreclose, recover or enforce any security interest created by the corporate debtor in respect of its property including any action under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002; the recovery of any property by an owner or lessor where such property is occupied by or in the possession of the Corporate Debtor. (b) That the supply of essential goods or services to the Corporate Debtor, if continuing, shall not be terminated or suspended or interrupted during moratorium period. (c) That the provisions of sub-section (1) of Section 14 shall not apply to such transactions as may be notified by the Cent ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
