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2020 (2) TMI 1586 - Tri - Insolvency and BankruptcyMaintainability of application - initiation of CIRP - Corporate Debtor failed to make repayment of its dues - Operational Creditors - existence of debt and dispute or not - HELD THAT:- It is clearly established that a debit note has been issued and delivered to the Applicant by the Respondent with respect to invoice no. 103 dated 13.04.2017 at least. The debit note NECPL/17-18/025 is not taken into consideration as the details in the debit note do not match the details in the invoice. Thus, the Respondent has successfully shown that there is a pre-existing dispute between the parties regarding the quality of goods supplied. The Applicant has contended that the Respondent has admitted its debt by issuing cheques for payment of the same and thus, cannot claim that the debt is disputed. Although it’s true that the Respondent issued cheques for payment of the debt and in normal course this can be taken as an acknowledgment of debt, here it has to be noted that the cheques were not honored due to the reason that the Respondent stopped the payment of the same and not due to insufficiency of funds. This furthers the contention of the Respondent that there is a pre-existing dispute due to which the Respondent is not required to pay the Applicant’s claims. Since the Respondent has successfully established the existence of a dispute between the parties the Tribunal deems it fit to dismiss the present application - Application dismissed.
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