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2020 (8) TMI 497 - AT - Insolvency and BankruptcyMaintainability of application - initiation of CIRP - Corporate Debtor failed to make repayment of its dues - petition dismissed on the ground that there were pre-existing disputes between the parties - HELD THAT:- Adjudication authority failed to consider that the respondent has sought to confuse matters by relating to prior correspondence, in fact that it was the liability of the respondent and that the respondent under an arrangement with the said M/s Hindalco Industries Limited had intended to clear the dues to the Appellant. The said arrangement was seemed to be made to run away from the obligation to pay the debt by the respondent as Hindalco could not hold respondent’s payment contractually and also Hindalco can pay directly to the Appellant subject to confirmation from the Respondent, however there is no such confirmation from the respondent - Adjudicating authority failed to consider that respondent has sought to shift the liability from itself to Hindalco Industries Limited to make payment to the appellant with a view to deny the appellant of its legitimate dues. The defence raised by the respondent is not genuine and an after-thought merely to evade making payments of the liabilities under the purchase orders to the appellant. Case remitted to the Adjudicating Authority, Mumbai Bench to admit the application and pass appropriate order in presence of the parties - appeal allowed.
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