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TaxTMI 
TaxTMI 
TaxTMI 
2017 (8) TMI 509
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....the Corporate Debtor. 2. It is pertinent to mention here that notice was deemed served on the Respondent Corporate Debtor as is evident from the affidavit of Proof of Service dated 29.06.2017 and the order dated 5.7.2017 passed by this tribunal. However no one appeared on behalf of Respondent Corporate debtor. 3. It is the case of the applicant that the corporate debtor 'Eternity Infracon Pvt. Ltd.' a company incorporated under the provisions of The Companies Act, 1956, in November, 2013 through its director proposed to the applicant to invest an amount of Rs. 18,00,000/- (Rupees Eighteen Lakhs Only) (approximately) in its under-construction commercial space namely, "The CRESCENT" (IT/ITES/Commercial Project) at Greater Noida, (U.....
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....en Lakhs Forty Seven Thousand Nine Hundred and Fifty Five Only) shortly. The Corporate Debtor assured to pay an interest at the rate of 37.33% p.a. on the amount of Rs. 25,00,000 (Rupees Twenty Five Lakhs). 6. The Applicant further invested an additional amount of Rs. 25,00,000 (Rupees Twenty Five Lakhs) vide Cheque No. 0026, dated 01.05.2014, drawn on HDFC Bank in the Corporate Debtor. A Buy Back Agreement dated 02.05.2014, inter alia, recording the aforesaid terms was also executed between the Corporate Debtor and the Applicant. The Corporate Debtor upon the Applicant's continuous requests, issued a cheque No. 00191 dated 11.06.2014 for an amount of Rs. 17,47,955 (Rupees Seventeen Lakhs Forty Seven Thousand Nine Hundred and Fifty Fiv....
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....undred and Fifty Five Only) along with interest. However, the Corporate Debtor, despite receipt of the aforesaid notices failed and neglected to discharge its liability. 9. Applicant, through its counsel sent demand notice dated 22.03.2017 under section 8 of Insolvency and Bankruptcy Code, 2016, requesting the Corporate Debtor to unconditionally repay the unpaid operational debt in full within ten days from the receipt of the said demand notice, but to no benefit. The Applicant, once again, vide email dated 13.04.2017 served the aforesaid demand notice. However, no reply has been sent by the Corporate Debtor and corporate debtor failed to make any payment to the Applicant. Accordingly applicant has prayed for initiation of corporate insolv....
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....time being in force and payable to the Central Government, any State Government or any local authority". 12. From the perusal of the aforesaid definition of 'Operational Debt' it is clear that it is a claim in respect of provision of goods or services including dues on account of employment or a debt in respect of repayment of dues arising under any law for the time being in force and payable to Centre or State Government or local authority. It is thus clear that debt may arise out of provision of goods or services or dues arising out of employment or dues arising under any law for time being in force and payable to the Centre/State Government. The framer of the Code have also defined the expression 'Financial Debt' in sect....
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....e applicant does not fall within the definition of 'Operational Creditor', his present application filed under section 9 for initiation of Corporate Insolvency process in respect of Corporate Debtor shall not be maintainable. Therefore once the applicant is not an 'Operational Creditor' and his claimed dues not being 'operational debt', the present petition filed under section 9 of the Code for initiation of Corporate Insolvency Resolution Process is not maintainable. 15. Ld. Counsel for the applicant before conclusion of the final arguments submitted that the applicant may be treated as a 'financial creditor' and leave may be granted under the Inherent Powers of the Tribunal to allow the applicant to file a....
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.... 10, as the case may be should either be admitted or rejected in accordance with respective provisions. When the language of the code is clear and explicit the adjudicating authority has to give effect to it by adhering to the statutory requirements in toto. The provisions must be strictly followed substantially as well as procedurally. 18. In the case of State of U.P. v. Babu Ram Upadhyay, AIR 1961 SC 751, Hon'ble Apex Court has held that, "when a statute requires a thing to be done in a particular manner, it can only be done in that manner or not at all. All other methods are forbidden ". 19. Equity has no place when law is clear. Inherent Power of court are exercised in advancing ends of justice but subject to the condition that ex....