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2019 (2) TMI 1703 - Tri - Insolvency and BankruptcyAdmissibility of petition - initiation of Corporate Insolvency Resolution Process - Corporate Debtor had defaulted in repaying a sum - existence of debt of default - Section 7 of Insolvency and Bankruptcy Code, 2016, R/w Rule 4 of Insolvency & Bankruptcy (Application to the Adjudicating Authority) Rules, 2016 - whether Petitioner is Financial Creditor and that Corporate Debtor owed financial debt to the Petitioner and if so, is there any default? HELD THAT:- If Petitioner is able to establish that debt payable by Corporate Debtor is a financial debt and it is a Financial Creditor and debt is committed default, then Petition is liable to be admitted. It is not in dispute Financial Creditor is del-credere agent of M/S RIL. All Purchase orders to be placed through Financial Creditor who undertakes to provide credit facility for the supply of goods to the Corporate Debtor and interest for 20-30 days from the date of supply is at 15% and beyond the said period, interest will be charged at 18%. It is strongly established that Financial Creditor extended credit facility to the Corporate Debtor and goods are supplied to the Corporate Debtor. M/S RIL is not directly extending any credit facility to the Corporate Debtor. M/S RIL will supply goods only on payment. Payment was being made by Financial Creditor in respect of purchase orders and goods are delivered to Corporate Debtor. The credit facility extended by Financial Creditor is subject to payment of interest. Money is paid to M/S RIL on behalf of Corporate Debtor against time value for money. It is proved that Petitioner is a Financial Creditor and that the debt due by Corporate Debtor is a Financial Debt. Petition is in order and as such Petition is liable to the admitted - Petition admitted - moratorium declared.
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