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2019 (1) TMI 1252 - Tri - Insolvency and BankruptcyInitiation of Corporate Insolvency Resolution Process - pre-existence of a dispute - Held that:- In the present case notice under Section 8 was duly replied within the period prescribed by bringing to the notice of the operational creditor the existence of dispute. There is substance and plausible contention in the replies and notices of the respondent, which necessitates investigation. In fact, the claim of loss and the prayer for its recovery are sub-judice in a court of law. The provisions of Section 9 (5) (ii) (d) of the Code clearly mandates that Adjudicating Authority shall reject the application when notice of dispute has been received by the applicant operational creditor. In the line of aforesaid provisions of the Code held that the moment there is existence of a dispute the operational creditor gets out of the clutches of the Code. For the reasons stated above the application fails and therefore the same is rejected.
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