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2020 (1) TMI 1277 - Tri - Insolvency and BankruptcyMaintainability of application - initiation of CIRP - Corporate Debtor failed to make repayment of its debt - existence of debt and dispute or not - HELD THAT:- The Respondent is not denying the services rendered by the Petitioner and they have not raised any defective services at the time of taking service of Petitioner and the issue of alleged defective service raised during the process of settling the invoices in question. Mere issue of limitation cannot be a dispute as contended by the Respondent. On the other hand, it is the responsibility of the Respondent to settle the invoices in question rather than raising un-tenable grounds, that too after extracting services, after termination of the Agreements in question. Since the services of Petitioner was admittedly terminated from 31st January, 2015, the Petitioner, after protracted correspondence through various letters viz. 17.11.2017, 10.09.2018 etc., has finally resorted to issue Legal notice dated 25.12.2018 followed by earlier filing CP (IB) No. 107 of 2019 and further proceedings till date. So, the issue is continuous cause of action. Moreover, as per covenants made between the Parties, the nature of relationship between the Parties is stated to be of Principal-to-Principal basis. It is true that since proceedings initiated under the provisions of Code are summary in nature and Adjudicating Authority cannot exceed its authority in entertaining and deciding disputed questions of fact. The instant Petition is basically filed with an intention to recover the disputed amounts, and that too after receiving part payments. However, the Adjudicating Authority is empowered to initiate CIRP if it is satisfied that debt and default in question exceeds one lakh or more. The Petitioner is directed to submit its claim as mentioned in the Petition, with all supporting tenable evidence to the Respondent, within a period of two weeks from the date of receipt of a copy of this Order - the Respondent is directed to consider the representation made by them by duly taking it into consideration and decide the same, by keeping in mind its status in the market and to resolve the issue once for all and pass speaking order, and communicate the same to the Petitioner, within a period of three weeks thereafter - petition disposed off.
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