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2019 (11) TMI 1536 - Tri - Insolvency and BankruptcyMaintainability of application - initiation of CIRP - Corporate Debtor failed to make repayment of its debt - deduction of MDR charges - existence of debt and dispute or not - HELD THAT:- Admittedly the Petitioner sent the demand notice to the Corporate debtor on 19.12.2018 but the Corporate Debtor submits that there is a pre-existing dispute in terms of Section 5(6)(a) of the Code. In view of the fact that the Corporate Debtor had deducted MDR charges which the Petitioner is liable to pay as per the agreement, there is no debt payable by the Corporate Debtor and the same being a dispute covered under Section 5(6)(a) of the code, this bench is of the view that there is a plausible dispute raised by the Corporate Debtor and the petition is liable to be dismissed. It is established that there is a clear dispute as to the amount claimed by the Corporate Debtor as provided u/s 5(6)(a) of the Code - In the case on hand the contentions raised by the Corporate Debtor are neither spurious nor hypothetical nor illusory and in fact there is a dispute as to existence of the debt payable by the Corporate Debtor. The petition is dismissed with liberty to the Petitioner to proceed accordance with law.
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