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2017 (2) TMI 1391 - NATIONAL COMPANY LAW TRIBUNAL, NEW DELHICorporate insolvency process - financial debt - Held that:- Respondent No. I- Company has committed default in respect of financial debt owed to the petitioner/ financial creditor. The reasons for our satisfaction are that the factum of advance has not been disputed. The payment of interest @12% per annum was being made. It satisfies the requirement of time value of money in such like transaction as is required by Section 5(8) to constitute it as a 'Financial Debt'. The Respondent No. I Company has acknowledged the receipt of advance by confirming the same on 1.4.2016. It is also evident that no reply to the demand notice dated 10.8.2016 has been entered by the Respondent No. I-Company. Therefore we are of the view that the present petition warrants admission. The arguments advanced on behalf of R-1 company have failed to impress us because the theory of advance money for purchase of shares cannot be accepted because the shares were purchased in the year 2015 and no intimation of the purchase of share has been sent to the petitioner. On the contrary the Respondent No. 1-Company have been paying interest @ 12 % to the petitioner company. The argument with regard to written agreement for advancing loan is also devoid of merit once it is accepted that the amount has been received and interest thereon has been paid at the rate of 12 %. We are also unable to appreciate that the confirmation of accounts on 1.4.2016 by one Mr. Neeraj Sharma under the seal of R-I Company is liable to be ignored on the ground that he was not authorised to issue such certificate. The defence of the Respondent No. 1 Company is wholly illusory and we have no hesitation to reject the same. - Petition admitted.
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