2019 (7) TMI 977

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... Code"), the story line in this case is the Petitioner has come before this Bench stating that since the Corporate Debtor (the debtor) has not utilized the power as stated in the letter dated 23.02.2015, the Corporate Insolvency Resolution Process shall be initiated against the debtor. 2. In the backdrop of the facts available on record, it is evident that this Petitioner and the Debtor entered into Power Purchase Agreement (PPA) dated 24.09.2012 for supply of 20,00,000 units of power per year by the Petitioner to the Corporate Debtor. In this PPA, it has also been mentioned that initial thermal Power Purchase Agreement was for a period of five years from the Commencement of Date (COD) of the project. This PPA commenced on 24.09.2012 mea....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ed to Rs. 6.54 per unit upto 20,00,000 units. 7. In addition to it, the Petitioner has mentioned the subscription of share value of Rs. 40,000/- (4400 shares of Rs. 10 each) with effect from 01.04.2015. As per the PPA, Clauses 4.2 and 4.3 and all other clauses have been changed. It has been further noted in this letter about generation/distribution of power, percentage will be increased from 4.81% to 15.38% and the supply of 20,00,000 units of the total capacity has been changed to 60,00,000 units with increase of 40,00,000 units. 8. If this letter is set against the PPA dated 24.09.2012, as per the written understanding between the parties, it shall be amended in writing with the consent of the parties for change of supply of power o....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....h as required by the Debtor, it has intimated to this Petitioner on 09.03.2017 stating that the Debtor intended to terminate the contract between the Petitioner and the Debtor on completion of the term of five years reflected in the PPA dated 24.09.2012. The Debtor Counsel has disclosed that as to the account in between the creditor and debtor, it is showing as NIL balance as on 10.10.2017. Of course, it is not even the case of the Petitioner that the Debtor has not paid towards the power already consumed by it. 11. Since there is no definite agreement or at least any indication reflecting the Debtor agreeing to avail 60,00,000 units per year, this Bench, merely by seeing a letter dated 23.02.2015 and the payment advice dated 19.10.2017 ....