TaxTMI 
TaxTMI 
2021 (6) TMI 352
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....y and Bankruptcy (Application to Adjudicating Authority) Rules, 2016 (for brevity 'the Rules') by M/s. SE Power Limited (for brevity 'Applicant') through its authorized representative, Mr. Amit Kumar, who has been authorized vide board resolution dated 14.05.2018 with a prayer to initiate the Corporate Insolvency process against Chowdhary Chemical & Rubber Limited (for brevity 'Corporate Debtor'). 2. The Applicant is a limited company incorporated under the provisions of Companies Act, 1956 on 11.08.2010, having CIN L40106GJ2010PLC091880. The applicant is having its registered office at Survey No. 54/B Pratapnagar Jarod-Savli Road Samiaya Vadodara, Gujarat 391520. 3. The Corporate Debtor is a private limited co....
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....d post at its registered address as reflected on the MCA website. 8. The Corporate Debtor has filed reply and has contended as follows: i. That the applicant supplied defective material and of poor quality due to which corporate debtor suffered losses as the said goods were rejected by the firm to whom it was sent. The corporate debtor further claims to have suffered loss of Rs. 125,271.30/- and claims from the applicant. ii. That various firms where the corporate debtor supplied the goods which were delivered by the applicant to the corporate debtor, gave negative reports about the products of the applicant and stopped making payment to the corporate debtor, causing losses. iii. That the corporate debtor under....
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....rate debtor has placed on record a letter and the debit note dated 10.03.2017 which has been addressed to the corporate debtor by M.R. Belting, claiming substandard material. The said letter and the debit note is dated after the applicant had called upon the corporate debtor to clear its dues and this makes it amply evident that this was all an afterthought on the part of the corporate debtor in collusion M.R. Belting to evade its liability to make the overdue payments to the applicant. iv. That it is denied that there were any issues regarding substandard material or any losses caused to the corporate debtor. The rejection which corporate debtor is talking about is of the samples sent to the party and not the gods supplied. There ....
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.... "40.................. Therefore, all that the adjudicating authority is to see at this stage is whether there is a plausible contention which requires further investigation and that the "dispute" is not a patently feeble legal argument or an assertion of fact unsupported by evidence. It is important to separate the grain from the chaff and to reject a spurious defence which is mere bluster. However, in doing so, the Court does not need to be satisfied that the defence is likely to succeed. The Court does not at this stage examine the merits of the dispute except to the extent indicated above." In the present case, there is no such dispute is pre-existing and we are convinced that the present dispute is patently feeble legal argu....
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....to Adjudicating Authority) Rule, 2016 and make disclosures as required under IBBI (insolvency Resolution Process for Corporate Persons) Regulations, 2016 within a period of one week from the date of this order. 15. We direct the Operational Creditors to deposit a sum of Rs. 2 lacs with the Interim Resolution Professional, namely Mr. Mukesh Gupta to meet out the expense to perform the functions assigned to him in accordance with regulation 6 of Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Person) Regulations, 2016. The needful shall be done within one week from the date of receipt of this order by the Operational Creditor. The amount however be subject to adjustment by the Committee of Creditors, a....