TMI Blog2022 (12) TMI 272X X X X Extracts X X X X X X X X Extracts X X X X ..... was taken up after the covid situation, the Counsel for the Petitioner was directed again to issue a notice informing the Respondent regarding the next date of hearing - there is no illegality in the Order of the Adjudicating Authority in forfeiting the right of the Appellant in filing a Reply. The amount is a Financial Debt or not - HELD THAT:- The Promisory Note only indicates that there was an acknowledgement of a debt to be repaid with interest. It is significant to mention that the Financial Creditor had not sought for enforcement of this promisory note and therefore, the question of it being stamped and the provisions of Indian Stamp Act, 1899 being applicable, does not arise in this case. The material on record evidences that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed to file reply. Therefore, the Corporate Debtor s right to file reply was forfeited. 2. Heard the Counsel appearing for the Financial Creditor . The Counsel appearing for the Financial Creditor invited the attention of this Tribunal to the relevant documents filed in proof of debt and default in support of above company petition. The Counsel appearing for the Financial Creditor also invited the attention of this tribunal to the letter dated 01.04.2016 addressed by the Corporate Debtor to the Financial Creditor for the financial year ending from 01.04.2015 to 31.03.2016 in their books of accounts. 3. Even though, Mr. Pradip Patil, Advocate appeared through virtual hearing on behalf of Corporate Debtor on 26.07.2021 o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... its desire to continue the alleged loan along with the interest payable every six months. It is argued that the Promisory Notes dated 16.10.2014 and 01.02.2017 are not stamped and as per Entry 49 of the first schedule to the Indian Stamp Act, 1899, Promisory Notes have to be duly stamped by affixing the stamp of the required value. As the said stamps are absent, the Promisory Notes are inadmissible. Ld. Counsel also placed reliance on Section 33 of the Maharashtra Stamp Act, 1958 wherein the fate of an unstamped instrument is impounding, irrespective of the validity of that instrument. It is argued that the first Respondent has not been able to produce any document to show that the amount of Rs. 1 Crore was disbursed in favou ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d contest the case. 3. Submissions of the Ld. Counsel appearing on behalf of the Resolution Professional, the Respondent No. 2 Ld. Counsel appearing for the Resolution Professional filed his Status Report . Ld. Counsel submitted that this said Company Petition was listed before the Adjudicating Authority on several occasions, but was mostly adjourned on the request of the Counsel appearing for the Corporate Debtor . On merits, it is submitted that the Corporate Debtor had admitted to the Debt but defaulted on the payments in various stages and therefore, cannot now take a stand that the amount is not a Financial Debt . It is submitted that a part of the total debt was sought to be repaid vide a cheque dated 15.07.2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... On 07.04.2021, the matter was adjourned due to lack of time. On 01.06.2021 the matter was adjourned. It is the case of the Respondent that the Appellant was very well aware of this date and in fact had sent a WhatsApp message a day prior to this date. 5. On 26.07.2021, once again the Respondent was present but the right to file their Reply was forfeited but the arguments were heard and the matter was reserved for orders. 6. The dates evidence that the Respondent Counsel was present from the initial stage till the date on which his right to file his reply was forfeited, and several opportunities were given by the Adjudicating Authority. The Adjudicating Authority in the Impugned Order had recorded the conduct of the Corporate Debtor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . The material on record evidences that the amount of Rs. 1 Crore disbursed to the Corporate Debtor has the essential ingredients of a Financial Debt as defined under Section 5(8) of the Code. 11. It is submitted by the Resolution Professional that publication of Expression of Interest ( EOI ) in Form G was done on 20.05.2022, but no EOI was received. Fresh EOI was published on 21.07.2022 and the last date for submission of Resolution Plans, extended by seven days was 18.09.2022. 12. It is submitted by the Resolution Professional that the Resolution Plan is under consideration and the time has expired on 09.10.2022. For the aforenoted reasons, we do not see any substantial grounds to set the clock back and hence this Appeal is dis ..... X X X X Extracts X X X X X X X X Extracts X X X X
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