2020 (3) TMI 162

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....e Limited (hereinafter called "Corporate Debtor") alleging that Corporate Debtor committed default in making payment of Rs. 32,95,144/-, by invoking the provisions of Section 8 and 9 of the Insolvency & Bankruptcy Code (hereinafter called "Code") read with Rule 5 and 6 of Insolvency & Bankruptcy (Application to Adjudicating Authority) Rules, 2016. 2. The Petition reveals that the Petitioner is a financial advisory & investment banking firm. The Corporate Debtor is a manufacturer of power generator sets, pumps and also provides after sales services to its customers. 3. The Corporate debtor and other group companies including but not limited to M/s Mahalasa Acoustic Pvt. Ltd., M/s Creative Manufacturing Solutions (India) Pvt. Ltd., M/s ....

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....as accepted by the said company. A copy of the sanction letter is enclosed to the petition as annexure 3. The Petitioner raised a proforma invoice on 02.11.2017 for Rs. 21,24,000/- on M/s Mahalasa Acoustic Pvt. Ltd. 6. It is submitted that the Petitioner obtained additional sanction of loan from Kotak Mahindra Bank Ltd. on 31.01.2018 for Rs. 4,00,00,000/- in favor of M/s Mahalasa Acoustic Pvt. Ltd. and the sanction letter is also enclosed to the petition. On 10.05.2018, the Petitioner raised proforma invoice for Rs. 38,94,000/- on M/s Mahalasa Acoustic Pvt. Ltd. The Petitioner submits that after adjustment of the receipt of Rs. 10,50,000/- from the Corporate Debtor, for the invoices raised against the M/s. Mahalasa Acoustic Pvt. Ltd., th....

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..... 3 crores only, the success fees payable works out to Rs. 9,00,000/- whereas the non-refundable upfront payment made was Rs. 10,00,000/-, hence a sum of Rs. 1,00,000/- is receivable from the Petitioner. 9. As per the engagement letter, the Corporate Debtor engaged the services of the petitioner for raising fund to the group companies and also paid a sum of Rs. 10,00,000/- as non-refundable upfront payment. Admittedly, the services were provided to M/s. Mahalasa Acoustic Pvt. Ltd. and proforma invoices were also raised only on M/s. Mahalasa Acoustic Pvt. Ltd. However, the demand notice was issued to the Corporate Debtor and petition is field against the Corporate Debtor. We are of the view that the action of the Petitioner in demanding t....