TaxTMI 
TaxTMI 
2019 (12) TMI 561
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....mitted that the Appellant is negotiating for settlement with the 'Operational Creditor' and no 'Committee of Creditors' has been constituted. 3. On 16th July, 2019, it was stated that the parties reached the settlement and Terms of Settlement' has been filed. 4. Mr. Ashok Kriplani, learned counsel appearing on behalf of the 'Interim Resolution Professional' accepts that the 'Committee of Creditors' has not been constituted and the Terms of Settlement' reached between the parties on 15th July, 2019 and in terms thereof the admitted dues will be paid by the 'Corporate Debtor' within the time period shown therein. 5. The Settlement Agreement dated 15th July, 2019 reads as follows: Settlement Agreement WHEREAS Respondent herein instituted Company Petition No. 1738 of 2018 before the National Company Law Tribunal, Mumbai ("NCLT"), against Shree Mataji Graphics Private Limited ("Corporate Debtor"). By way of an order dated 6 March 2019 ("Order of Admission") the NCLT admitted the said Company Petition, thereby commencing the Corporate Insolvency Resolution Process in respect of the Corporate Debtor. AND WHEREAS....
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....ivate Limited; I. On or before 16 August 2019, the Corporate Debtor shall pay to the Respondent second instalment of a sum of Rs. 10,00,356 (Indian Rupees Ten 1akh Three hundred and fifty-six) by a post-dated Cheque number [784801] dated 16.08.2019 drawn on Hubergroup India Private Limited; II. On or before 16 September 2019, the Corporate Debtor shall pay to the Respondent third instalment of a sum of Rs. 10,00,356 (Indian Rupees Ten lakh Three hundred and fifty-six) by a post-dated Cheque number [784803] dated 16.09.2019 drawn on Hubergroup India Private Limited; III. On or before 16 October 2019, the Corporate Debtor shall pay to the Respondent fourth instalment of a sum of Rs. 10,00,356 (Indian Rupees Ten lakh Three hundred and fifty-six) by a post-dated Cheque number [784804] dated 16.10.2019 drawn on Hubergroup India Private Limited; IV. On or before 16 November 2019, the Corporate Debtor shall pay to the Respondent fifth instalment of a sum of Rs. 10,00,356 (Indian Rupees Ten lakh Three hundred and fifty-six) by a post-dated Cheque number [784805] dated 16.11.2019 drawn on Hubergroup India Private Limited; V. On or before the 16 D....
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....e Debtor. Parties acknowledge that the Agreed Settlement Amount has been arrived at after deducting the said amount of Rs. 17,04,637 (Indian Rupees Seventeen lakh four thousand six hundred and thirty-seven only), from the total debt due and payable by the Corporate Debtor to the Respondent. Kruthika has confirmed that it accepts this deduction from the total debt, as being valid discharge of the debt owed by Respondent to Kruthika. Post-dated cheques for payment by the Corporate Debtor under this Settlement Agreement are to be drawn in favour of Hubergroup India Private Limited. It is further agreed between the Parties that in the event of three continuous default committed by the Corporate Debtor! n making any payment mentioned in Schedule 'A' and/or breach of any of the clauses of this Settlement Agreement following consequences shall follow: The total debt claimed in the Company Petition, by the Respondent against the Corporate Debtor shall stand revived and admitted; It is made clear that payments made by the Corporate Debtor, if any, under this Settlement Agreement, and the amount of Rs. 17,04,637 (Indian Rupees Seventeen lakh four t....
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....shall be borne by the Appellant. Appellant agrees to pay the said amount as IRP fees, on the signing of this Settlement Agreement, the same being taken on record by the Hon'ble NCLAT, and the Order of Admission being set aside by the Hon'ble NCLAT. Parties represent and warrant that they have the requisite authority to enter into the present Consent Terms. This Settlement Agreement is entered in 4 (four) counterparts, one to be retain&d by the Appellant, one by the Respondent, one by the Corporate Debtor and one to be filed before the Hon'ble NCLAT. 6. Learned counsel for the Appellant submits that the Appellant, all Shareholders/ Promoters and Directors and Officers of the 'Corporate Debtor' will be bound by the 'Terms of Settlement'. 7. Learned counsel for the Respondent- 'Operational Creditor' submits that the 'Operational Creditor' has no objection to the 'Terms of Settlement' as agreed subject to payment should be made on time. 8. Similar plea has been taken by learned counsel appearing on behalf of the 'Interim Resolution Professional'. 9. In view of the aforesaid development and taking ....