2019 (5) TMI 1854

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....pplication to Adjudicating Authority) Rules, 2016 by the applicant/operational creditor, i. e., M/s. Delhi Control Device P. Ltd., for initiation of corporate insolvency resolution process against the respondent/corporate debtor-company "M/s. Fedders Electric and Engineering Ltd." 2. The applicant/operational creditor is a company incorporated on January 5, 1984 under the Companies Act, 1956 with Identification Number U31200DL1984PTC017281. Shri Ashish Gupta of the applicant-company has filed this application on behalf of the operational creditor by authorisation letter dated May 19, 2018. 3. The respondent/corporate debtor-"M/s. Feeders Electric and Engineering Ltd." is a company incorporated on January 16, 1957 under the provision o....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ch the officials of the corporate debtor contacted the director of the applicant for the settlement and accordingly a settlement agreement was executed between the parties on May 25, 2018 wherein the corporate debtor has agreed to pay the principal amount of Rs. 42,41,034 to the operational creditor by way of the two instalment. (v) The applicant stated that in accordance with memorandum of understanding, the corporate debtor had paid the first instalment of Rs. 20,00,000 on March 31, 2018 but there has been default in making the second payment of Rs. 22,41,034. (vi) Hence, total amount claimed to be in default is Rs. 22,41,034 and date of default is June 10, 2016. 6. It is matter of record that this Authority has serve....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... one of the clause of the settlement agreement which has direct impact on final outcome of this insolvency petition : "That the party of the second part has agreed that it will withdraw with prejudice and without any costs, immediately on signing of this agreement the demand notice dated April 6, 2018 along with the reminder demand notice dated May 2, 2018 issued under rule 5(1) of the Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016 claiming an amount of Rs. 42,41,034 (rupees forty two lakhs forty one thousand and thirty four only) along with 18 per cent. interest per annum from the party of the first part." 11. The case on hand is that the applicant relied on same demand notice dated April 6, 2018 ....