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2020 (10) TMI 485 - Tri - Insolvency and BankruptcyMaintainability of petition - initiation of CIRP - Corporate Debtor failed to make repayment of its dues - existence of debt and dispute or not - HELD THAT:- The case of Petitioner in the Affidavit is that as per MoU entered with Corporate Debtor, the flats sold to the Operational Creditor should be completed and to be delivered to the Operational creditor within 6 months. However, the Corporate Debtor failed to complete the construction of the four flats and failed to deliver the same to the Operational Creditor. So, the contention of the Operational Creditor is that it is ready to give up the flats and also for cancellation of sale deeds and wanted the Corporate Insolvency Resolution Process (CIRP) against the Corporate Debtor. Already Civil Suit was filed for specific performance to complete the construction of the flats and delivery of the same and the said civil suit is pending. It is undisputed fact that the amount due by the Corporate Debtor to the Operational Creditor was settled by entering into MoU and by executing four registered sale deeds in respect of four flats. Thus, parties entered into settlement with regard to the amount payable in respect of supply of TMT bars covered by the invoices. Even otherwise, the stand taken by the Corporate Debtor that in respect of the first six invoices shown in the table supra the amount was paid and remaining four invoices was subject matter of MoU. Thus, the contention of the Corporate Debtor that there is no operational debt due to the Petitioner by the Corporate Debtor. Some settlement took place between parties and disputes arose over settlement and civil suit was also filed against the Corporate Debtor and it is pending. Prior to filing of the present petition already Operational Creditor approached civil court. Secondly, Operational creditor earlier filed CP (IB) No. 124/9/HDB/2017 under Section 9 of IBC against Corporate Debtor and the same was withdrawn. Thirdly, the invoices referred are of the year 2013 whereas the present petition is filed in the year 2019. The limitation to proceed against invoices is three years from the date of raising of invoices. The invoices are barred by limitation by the date when the present petition is filed under Section 9. Article 137 of the Limitation Act is applicable to the present facts of the case - the petition filed under Section 9 of IBC is liable to be rejected on the ground that there was prior dispute and further the invoices are barred by limitation. Petition dismissed.
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