2021 (3) TMI 978

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....ner stated that the respondent/ corporate debtor is due and liable to pay an amount of Rs. 13,26,49,938/-(Rupees Thirteen Crores Twenty Six Lacs Forty Nine Thousand Nine Hundred Thirty Eight Only) consisting of Principal 10,11,11,470/-(Rupees Ten Crores Eleven Lacs Eleven Thousand Four Hundred Seventy Only) and interest @12% from 1st October, 2016 to 31^st March, 2018 amounting to Rs. 1,82,00,065/ - and interest @12% per annum from 1^st April 2018 to 31^st October, 2019 amounting to Rs. 1,33,38,404/- as on 01.11.2019. Hence the petition is filed under Section 7 of Insolvency and Bankruptcy Code, 2016, Read with Rule 4 of Insolvency& Bankruptcy (Application to the Adjudicating Authority) Rules, 2016 seeking commencement of Corporate Insolven....

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....ected and also financial creditor having financial limits with banks and timely inflow of funds had also effected. The financial creditor was forced to pay extra interest on Rs. 10,11,11,470/- which is huge burden on the company since it incurred extra expenditure of Rs. 2.00 crores on the Company. e. It is averred that due to the financial burden on the financial creditor, he put severe pressure on the corporate debtor for releasing the funds along with interest. On 10th March, 2018 both the parties agreed and entered into a loan agreement on the terms and conditions to return the money in 12 equated monthly installments from 1st  April, 2018 and in case of any default in payment of the installments, interest will be charged ....

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.... monthly installments commencing from 01.04.2018 and in case of default interest @12% per annum commencing from 01.10.2016 till the payment of the installment. (v) It is averred that corporate debtor is not in a position to pay the amounts, and approached the financial creditor multiple times and requested for waiver of the interest part. Further, corporate debtor requested the financial creditor to take back its material supplied. (vi) However, financial creditor neither considered the waiver of the interest amounts nor to take back its material supplied and further approached the Tribunal by filing the present petition. (vii) It is further averred the application is not maintainable sine the transaction between ....

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....d to the petition at Page no.15-23. Counsel for financial creditor has also filed the copy of loan agreement entered between the parties, which is annexed at Page no.24-26. Thus the learned Counsel for the financial creditor filed the petition is therefore liable to be admitted as the corporate debtor committed default of debt. 6. On the other hand it is the case of corporate debtor that Corporate debtor is facing numerous financial difficulties and was unable to pay the debt owned from the financial creditor. Further corporate debtor contended that the transaction between the parties is not a financial transaction but an operational transaction leading to an operational debt. Thereby, financial creditor ought to have filed Application u....

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....ets and Enforcement of Security interest Act, 2002 (54 of 2002); the recovery of any property by an owner or lessor where such property is occupied by or in possession of the corporate Debtor; (ii) That supply of essential goods or services to the Corporate Debtor, if continuing, shall not be terminated or suspended or interrupted during moratorium period. (iii) That the provisions of sub-section (1) of Section 14 shall not apply to such transactions as may be notified by the Central Government in consultation with any financial sector regulator. (iv) That the order of moratorium shall have effect from 01.03.2021 till the completion of the Corporate Insolvency Resolution Process or until this Bench approves the Re....