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2017 (7) TMI 41 - Tri - Companies LawPetition under Insolvency & Bankruptcy Code - non-payment of monthly interest, pending since long, admitted factual position is that the Corporate Debtor had committed “Default” - Held that:- In the wisdom of Hon'ble Legislatures a new Act/Code is therefore needed to safeguard the interest of all the creditors, thus resulted into enactment of Insolvency & Bankruptcy Code 2016. As a result it can be safely concluded that the provisions of I & B Code 2016 are not in conflict with the provisions of SARFAESI Act. Certain conditions precedent for 'Admission' of a petition under I&B Code, prima facie, have been presently completed, like the 'Default' of non-payment is established. Rather the Corporate Debtor being present in the court has not objected for the impugned default in making the payment of the outstanding dues as claimed by the Petitioner. When the Adjudicating Authority is satisfied that a default has occurred and the application is complete and the proposed Insolvency Resolution Professional is a qualified person, then by an order under sub-section (5) of Section 7 can admit a petition. Resultantly, the petition is hereby declared as Admitted. In the present case the consequence is that once the “Moratorium” is set in motion then the rights of the Petitioner shall get protected. As a consequence, the assets of the Corporate Financial Debtor must not be liquidated until the Corporate Insolvency Resolution Process is completed. The process of Moratorium shall be effective from today i.e. 29th May,2017 till the completion of the Corporate Insolvency Resolution Process or by any other order of this bench, if deem fit.
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