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2022 (1) TMI 454 - Tri - Insolvency and BankruptcyMaintainability of application - initiation of CIRP - Corporate Debtor failed to make repayment of its dues - Operational Creditors - assignment of debt - existence of debt and dispute or not - HELD THAT:- The Operational Creditor has established that as per Section 5(20) of the Insolvency and Bankruptcy Code, 2016, an "Operational Creditor" means a person whom an operational debt is owned and includes any person to whom such debt has been legally assigned or transferred - In this matter, Samsung C & T Corporation (Insured) had legally assigned Operational Debt, that is due and payable by Corporate Debtor, to Korea Trade Insurance Corporation i.e., Operational Creditor, vide letter of Assignment dated 08.09.2020. Therefore, Korea Trade Insurance Corporation is deemed to be Operational Creditor by virtue of a valid Assignment. The claim of the Corporate Debtor that the materials supplied are of inferior quality and could not be used by Corporate Debtor was not supported by any documentary evidence. The Corporate Debtor was not able to produce any evidence to show that there is a "pre-existing dispute" in the instant case - the nature of the Debt is an 'Operational Debt' as defined under Section 5(21) of the Definitions under the Code. There is a "Default" as defined under Section 3(12) of the Code on the part of the Corporate Debtor. The application made by the Operational Creditor is complete in all respects as required by law, and it clearly shows that the operational debt has not been paid by the Corporate Debtor - application admitted - moratorium declared.
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