Tribunal Admits Company Petition for Insolvency due to Non-Payment |

The Tribunal admitted the Company Petition under section 9 of the Insolvency & Bankruptcy Code, 2016, filed by the Operational Creditor against the Corporate Debtor for non-payment of Operational Dues. The Corporate Debtor failed to respond or dispute the demanded amount, leading to the appointment of an Interim Resolution Professional. The Tribunal declared the provisions of Moratorium under Section 14 of the Code operative, initiating the Corporate Insolvency Resolution Process against the Corporate Debtor.

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Issues:
- Company Petition under section 9 of the Insolvency & Bankruptcy Code, 2016.
- Non-payment of Operational Dues by Corporate Debtor.
- Application for Corporate Insolvency Resolution Process.
- Default on payment as per End User License Agreement.
- Appointment of Interim Resolution Professional.

Analysis:

1. Company Petition under section 9 of the Insolvency & Bankruptcy Code, 2016:
The Tribunal received a Company Petition under section 9 of the Insolvency & Bankruptcy Code, 2016, filed by the Broadcast Audience Research Council (Operational Creditor) against Mi Marathi Media Limited (Corporate Debtor) for the initiation of Corporate Insolvency Resolution Process due to non-payment of Operational Dues amounting to Rs. 4,03,750/- along with interest.

2. Non-payment of Operational Dues by Corporate Debtor:
The Operational Creditor provided services to the Corporate Debtor under an End User License Agreement. Despite continuous follow-ups and reminder notices for payment, the Corporate Debtor failed to pay the outstanding dues as per the agreed terms, leading to a default situation.

3. Application for Corporate Insolvency Resolution Process:
The Operational Creditor submitted a Demand Notice under section 8 of the Code, which was duly served upon the Corporate Debtor. However, the Corporate Debtor neither paid the demanded amount nor raised a dispute within the stipulated time, indicating a lack of response or defense against the outstanding debt.

4. Default on payment as per End User License Agreement:
The Tribunal found that the Corporate Debtor had not appeared before the Bench to contest the Application/Petition despite receiving notices and intimations. The ledger account of the Corporate Debtor corroborated the outstanding amount claimed by the Operational Creditor, further strengthening the case for default.

5. Appointment of Interim Resolution Professional:
Following the establishment of default and admission of liability by the Corporate Debtor through its conduct, the Tribunal admitted the Petition and appointed CA Subrata Maity as the Interim Resolution Professional. The provisions of Moratorium under Section 14 of the Code were declared operative, prohibiting certain actions against the Corporate Debtor during the Insolvency Resolution Process.

In conclusion, the Tribunal admitted the Company Petition, appointed an Interim Resolution Professional, and initiated the Corporate Insolvency Resolution Process against the Corporate Debtor due to non-payment of Operational Dues as per the End User License Agreement, establishing a default situation.

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