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2021 (3) TMI 473 - Tri - Insolvency and BankruptcyMaintainability of application - initiation of CIRP - Corporate Debtor is unable to pay its debt - existence of debt and dispute or not - application is filed by the competent person or not - documents filed by the Financial Creditor is having the common seal or not - Creditor-Debtor relationship between the Financial Creditor and Corporate Debtor or not. Whether the application is filed by the competent person? - HELD THAT:- Smt. Maya C. is the Assistant Vice President/ Branch Head of the Financial Creditor has the proper authority to file the present application, and the objection raised by the counsel for the Corporate Debtor is merely incongruous, and therefore, holds no water - the contention will not stand now, and it is only to be rejected. Whether the documents filed by the Financial Creditor is having the common seal? - HELD THAT:- This Tribunal verified original documents produced by the Financial Creditor in compliance with the order passed by this Tribunal dated 16.02.2021 and made sure that the documents alleged by the Corporate Debtor having the impressed seal of the Financial Creditor. Whether there is a Creditor-Debtor relationship between the Financial Creditor and Corporate Debtor herein? - HELD THAT:- There is Creditor- Debtor relationship between them, since the Financial Creditor admitted that they received money from the Financial Creditor and the Corporate Debtor has no case that he has repaid the money received from the Financial Creditor - As there is a default in the payment of the financial debt, which has been confirmed by them in the counter affidavit that the Financial Creditor paid the money to the Corporate Debtor. This Tribunal is of the view that, the present application filed by the Financial Creditor is satisfies all the definitions of “Financial Creditor”, “Default” and “Financial Debt” and qualifies for filing an application under Insolvency and Bankruptcy Code. By making various technical snags the Corporate Debtor cannot wash its hands in repaying the amount borrowed which is a financial debt owed by them. Hence, there is a Creditor-Debtor relationship with them. This Tribunal is on the view that the application is filed in the capacity of a ‘Financial Creditor’ for a ‘Financial Debt’ of ₹ 6,39,13042/-, recoverable from the Corporate Debtor viz Platino Classic Motors (India) Pvt Ltd is a fit case for admission and initiation of CIRP against the Corporate Debtor. The documents produced on record prove the disbursement of various loan facilities granted by the Financial Creditor to the Corporate Debtor - Corporate Debtor committed default in repayment of the loan amount to the Financial Creditor, and hence its Loan account was declared as NPA. In the light of above facts and circumstances, the existence of debt and default is reasonably established by the Financial Creditor as a major constituent for admission of an application under Section 7(4) of the I&B Code - Application under Sub-Section (4) of Section 7 of I&B Code, 2016 is complete in all respects. Application admitted - moratorium declared.
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