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2020 (8) TMI 577 - AT - Insolvency and BankruptcyMaintainability of application - initiation of CIRP - Corporate Debtor failed to make repayment of dues - existence of debt and default or not - HELD THAT:- Admittedly, the 1st Respondent defaulted to pay amount. The project was affected by ‘force majeure’ due to imposition of ban by the National Green Tribunal by order dated 17th September, 2013 restraining the different projects which are within 10 Km from the Okhla Bird Sanctuary including NCR areas. The ‘Flat Owners’ Agreement’ relates to development of the project in Eco City in Sector-75, Noida. Apart from the fact that there are ‘force majeure’ due to which the ‘Corporate Debtor’ could not complete the project, it is found that the 1st Respondent knocked the doors of the RERA and instead of waiting there, moved application under Section 7 not for Insolvency Resolution to get the Flat/ Apartment or liquidation, but for refund of the amount already paid. Also, the Settlement Agreement has been reached by the 1st Respondent on 24th October, 2019. The application under Section 7 was fit to be rejected - Appellant is directed to adhere to the ‘Terms of Settlement’. The ‘Interim Resolution Professional’ is entitled for fees and costs, as it is not determined in the Agreement - the ‘Corporate Debtor’ (company) is released from all the rigours of ‘Moratorium’ and is allowed to function through its Board of Directors from immediate effect - Appeal allowed.
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