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2021 (12) TMI 43 - AT - Insolvency and BankruptcyDishonor of cheque - Corporate Debtor failed to repayment of its dues - business dispute including the disputes with respect of dishonoured of cheques - applicability of provisions of NI Act or IBC - Appropriate forum for recovery of dues - HELD THAT:- It cannot be said that the transaction erupted only in the year 2017 between the parties seems there is a long term relationship between the parties but because of delayed supplied material against February 2017 PO, thereafter, hold on supply against PO of April 2017 enunciated difference and dispute between the parties which includes sub-standard supply of material by the OC to the CD and delayed supply resulting into disruption of production to the CD due to the default of OC. In any case, these are business dispute including the disputes with respect of dishonoured of cheques which are regulated as per provisions of ‘ The Negotiable Instruments Act, 1881’. All these disputes are of ‘civil nature’ and needs to handle under the ‘relevant commercial laws’. Section 9 can be initiated only if, there is a debt legally liable to be paid to the OC, there must be default by the CD and the invoices/dues are undisputed - it is further reiterated that Section 9 of the Code can be enforced only the ‘Debt’ is due and payable in law. There is a default by the CD and there is no notice of dispute. Reference is invited to the Hon’ble Supreme Court in TRANSMISSION CORPORATION OF ANDHRA PRADESH LIMITED VERSUS EQUIPMENT CONDUCTORS AND CABLES LIMITED [2018 (10) TMI 1337 - SUPREME COURT] where it is already held that IBC is not intended to be a substitute to a recovery forum and also laid down that whenever there is existence of real dispute, the IBC provisions cannot be invoked. Appeal dismissed.
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