TaxTMI 
TaxTMI 
1999 (8) TMI 792
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.... prices of the goods supplied on credit was Rs. 98,268.77 and Rs. 1,32,939.46 respectively, totalling to Rs. 2,31,208.23. The goods sold on credit were received by the respondent-company on 15-8-1992 vide, the acknowledgment signed by the authorised signatory of the respondent-company, dated 25-8-1992. It was agreed that if the payment of the bill not being made within (90) days therefrom the petitioner company shall be entitled to claim interest at the rate of 24 per cent per annum. In answer to reminders for payment of the goods sold on credit, the respondent-company acknowledged the liability to pay through letters, dated 31-3-1993 and 31-3-1994. The respondent-company was liable to pay an amount of Rs. 3,62,837.23 with interest as on 31....
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....t is pleaded that the company petition is liable to be dismissed. 4. After hearing both the parties to the petition on admission, the petition has been admitted on 10-11-1997 and it has been duly advertised in newspapers. 5. The respondent-company had challenged the order of admission in O.S.A. No. 1/98, but the Division Bench has dismissed the appeal on 9-2-1998. The case is in Electro Flame Ltd. v. Mittal Iron Foundry (P.) Ltd. [1998] 3 Comp. LJ 464 (AP) : Since no representation was subsequently made by the respondent-company, affidavit was sought to be filed in lieu of evidence. Thereafter, Shri Ramjilal Agarwal has filed his affidavit in lieu of his evidence. Then representation was made on behalf of the respondent-company and Ramjil....
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.... that the goods supplied on credit to the respondent company were not at all defective material. 9. Shri Ramjilal Agarwal, PW-1, testified that on 31-3-1993 and again on 31-3-1994, the respondent-company had acknowledged in writing its liability to pay the debt. He has further stated on oath that as on 31-3-1995, the respondent-company was liable to pay an amount of Rs. 3,62,835.23 including interest. The documents evidencing confirmation of the statement of accounts are at Exhs. P-5, P-6 and at Exh. P-7. Copies of notices are at Exh. A-8 and at Exh. A-9. Postal acknowledgements are at Exhs. P-10 and P-11. He has also stated on oath that the respondent company had handed over 'C' Forms on 10-5-1996, which are at Exhs. A-12 and A-13. He had....
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....t in itself inasmuch as the same admit of the existence of a jural relationship between the parties and, therefore, the plea of limitation cannot be sustained. It has been further observed in this case that statements of balance of accounts were confirmed by the debtor-company for the years 1993, 1994 and 1995. These confirmation letters were certified by putting a rubber stamp of the debtor-company with an initial thereon and by reason of such a balance confirmation, question of the claim being barred by the laws of limitation does not and cannot arise. The plea taken by respondent-company is that of confession and avoidance. While admitting that the person who had signed on the acknowledgements of liability, dated 31-3-1993 and 31-3-1994,....