TMI Blog2020 (2) TMI 55X X X X Extracts X X X X X X X X Extracts X X X X ..... any documents to show that the final bill was submitted regarding the alleged contract and the outstanding amount was also acknowledged by the Corporate Debtor. These email/communication submitted by the Corporate Debtor also shows that there was a pre-existing dispute, before issuance of the demand notice. Therefore, we are of the considered opinion that the Adjudicating Authority has rightly rejected the application filed under Section 9 of the I B Code for initiation of the Corporate Insolvency Process. Appeal rejected. - Company Appeal (AT) (Insolvency) No. 908 of 2019 - - - Dated:- 3-1-2020 - Justice Venugopal M. Member (Judicial), Kanthi Narahari Member (Technical) And V. P. Singh Member (Technical) For the Appellant : ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... efore, a demand notice under Section 8 of the Insolvency and Bankruptcy code, 2016 was issued on 5th January 2019 against the Corporate Debtor demanding the outstanding balance together with the interest accruing thereon as well as the GST and other charges payable. The demand notice was duly replied to by the Corporate Debtor. The Adjudicating Authority has rejected the petition on the ground of pre-existing dispute before the issuance of demand notice. We have heard the argument of both the parties and perused the record. Learned counsel for the Corporate Debtor submitted that the Operational Creditor has not adhered to the specification of the work order. The demand raised in only in respect of the running and the fin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nces and supporting documents, it seems to be totally baseless, please submit your claim with the consideration of work order s Terms Conditions and mutually agreed, as following: Final Bill certified Amount w.r.t. work order Payment Received in any Account Recovery against electricity Recovery against client supplied Machinery as Tower Crane, Boom place etc. Recovery against client supplied material as Bricks, Scaffolding material, Sand, Badarpur etc. Recovery against client-supplied labour Debit against incomplete work which was executed by third party on your risk and cost Debit against quality. Tax deductions as per work done and payment. Recovery ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bmitted bills are the exaggerated claim. Thus, it is clear that before the issuance of the demand notice, there was a pre-existing dispute. In 2018 (1) SCC 353 Mobilox Innovation Private Limited Vs. Kirusa Software Private Limited Hon ble Supreme Court has laid down the test for determination of existing dispute for admitting and rejecting the petition under Section 8 9 of the Insolvency and Bankruptcy Code, 2016. Hon ble Supreme Court has held that the Adjudicating Authority is to see at the stage of admitting/rejecting the application is whether there is plausible contention, which requires further investigation and that the dispute is not patently, feeble, legal arguments or assertion of facts, unsupported by evidence. I ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
