2021 (5) TMI 247

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ruptcy Code, 2016 read with Rule 4 of the Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016 by M/s. Tatia Global Venture Limited (hereinafter referred to as "Financial Creditor") for initiation of Corporate Insolvency Resolution Process (in short "CIRP") against M/s. Prince Foundations Limited (hereinafter referred to as "Corporate Debtor") on the ground that it has defaulted in repaying financial debt of Rs. 14,51,39,646/- (Rupees Fourteen Crore Fifty One Lakh Thirty Nine Thousand Seven Hundred and Ninety Six only) as on 28.11.2019 plus additional interest at 12% per annum. 2. On perusal of this Application, the averments made in the Application, the Financial Creditor being a lending financial institution, e....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... 4. It is further submitted that the Applicant had issued a notice dated 19.12.2016 (Page. 75) intimating the Corporate Debtor of its intention to terminate the above Sale Agreements. The Corporate Debtor vide letter dated 29.04.2019 had agreed to refund the balance amount due to the Applicant as per the Agreements, in due course. The Financial Creditor, after giving due credit to the amounts paid by the Corporate Debtor, a sum of Rs. 14,51,39,646/- stood due and payable as on 28.11.2019. The Corporate Debtor had periodically confirmed the balance by issuing confirmation of accounts statements (page. 77). Further, the Corporate Debtor had issued a cheque dated 28.08.2019 for a sum of Rs. 37,58,377/- towards part payment of the outstanding....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....bmitted that the Applicant Company entered into an Agreement of Sale dated 04.01.2016 for purchase of immovable properties from the Respondent and the advance amount of Rs. 15,00,00,000/- paid by the Applicant for the purchase properties cannot be a 'debt'. By virtue of the above agreement, the relationship between the Applicant and Respondent changes to that of a 'Purchaser' and 'Vendor'. 8. It is further submitted that the Corporate Debtor agrees to the fact that said properties were under mortgage to the State Bank of India and the Respondent had failed to release the mortgage over the properties within 30.06.2016 as per the agreement. Due to noncompliance, the Respondent had paid an interest at 9% from 01.07.2....