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2021 (3) TMI 206 - Tri - Insolvency and BankruptcyMaintainability of application - initiation of CIRP - Corporate Debtor failed to make repayment of its dues - Operational Debt - existence of debt and dispute or not - HELD THAT:- The claim of the applicant is based on settlement agreement and on the basis of that the petitioner claimed that since the respondent violated the terms and conditions of settlement and there is default in payment of the settlement amount, therefore, the petitioner filed the present application for initiation of CIRP for default in payment of operational debt. Whether the terms and condition of settlement agreement comes under the definition of operational debt? - HELD THAT:- As per the settlement agreement cheques were given to the petitioner which is mentioned at page Nos. 96 and 97 of the paper book and when the petitioner presented the cheque, the two cheques were dishonoured. Thereafter, the petitioner sent a demand notice under section 8(1) of the IBC and then filed this application. A claim in respect of the provision of goods or services including employment or a debt in respect of the payment of dues arising under any law for the time being in force is an operational debt and only default in respect of that operational debt a person can initiate CIRP under section 9 of the IBC - It is also found that the settlement agreement on the basis of which the present application is filed by the applicant does not come under the definition of operational debt. The default of instalment of settlement agreement does not come within the definition of operational debt - application dismissed.
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