9911796707
TMI Blog2023 (1) TMI 1421X X X X Extracts X X X X X X X X Extracts X X X X ..... ted. The revival of the application under Section 7 was consequent to the liberty granted by the Court. When application was revived, the application which was filed initially by the Financial Creditor was restored and treated to be the original Section 7 application. It cannot be said that what is to be considered was only the default under the settlement agreement. Default in settlement agreement is only a by-product which has permitted revival of Section 7 application but in no manner affect the claim in the original application which is financial debt under Section 7 application. In the present case Application under Section 7 was filed claiming financial debt and it was not initiated on the basis of any settlement agreement. Settlement ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fault was committed in making payment as was promised by the Corporate Debtor. An application for restoration of petition being RA-32/2021 was filed by the Financial Creditor on which following order was passed on 22.11.2021: RA-32/2021: This is restoration application filed by Authorised Representative of Financial Creditor. It is submitted that vide order dated 06.08.2019, the matter was withdrawn as settled. However, a liberty was granted to revive the Petition in the event of default. The Applicant submits that since there is a default in payments, therefore, they are seeking revival of the application. RA-32/2021 is allowed. Dr. Pankaj Garg representing the Respondent is present. Both the parties are directed to file the shortwritten s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... red and treated to be the original Section 7 application. It cannot be said that what is to be considered was only the default under the settlement agreement. Default in settlement agreement is only a by-product which has permitted revival of Section 7 application but in no manner affect the claim in the original application which is financial debt under Section 7 application. 8. The judgment which has been relied by learned counsel for the Appellant was a case where there was settlement between the parties and on account of default in the settlement, application under Section 7 was filed and the Court held that default in settlement agreement is not financial debt. The said case is clearly distinguishable from the present case. In the pres ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
