TaxTMI 
TaxTMI 
2021 (10) TMI 850
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....or the alleged default on the part of the CD in settling the amount of Rs. 4,00,000 (Pg 9 of Petition)including interest(r) 24% PA towards professional services for online test project. It is noted that on 09.08.21, OC submitted that CD is not in a position to make payment. The details of transactions leading to the filing of this application as averred by the OC are as follow: * CD approached OC for providing professional services with respect to online test exams and services for preparation of project reports, approaching financial Institutions etc and raised invoice dt 01.05.18 aggregating to Rs. 5,00,000. It is also stated that CD transferred an amount of Rs. 1,00,000 after the receipt of invoice. However he failed to clear th....
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....nal debtor copy of an invoice demanding payment of the amount involved in the default to the corporate debtor in such form and manner as may be prescribed. (2) The corporate debtor shall, within a period of ten days of the receipt of the demand notice or copy of the invoice mentioned in sub-section (1) bring to the notice of the operational creditor- (a) existence of a dispute, if any, or record of the pendency of the suit or arbitration proceedings filed before the receipt of such notice or invoice in relation to such dispute; (b) the payment of unpaid operational debt- (i) by sending an attested copy of the record of electronic transfer of the unpaid amount from the bank account of the corporate debtor;....
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....s maintaining accounts of the operational creditor confirming that there is no payment of an unpaid operational debt by the corporate debtor, if available; (d) a copy of any record with information utility confirming that there is no payment of an unpaid operational debt by the corporate debtor, if available; and (e) any other proof confirming that there is no payment of any unpaid operational debt by the corporate debtor or such other information, as may be prescribed. (4) An operational creditor initiating a corporate insolvency resolution process under this section, may propose a resolution professional to act as an interim resolution professional (5) The Adjudicating Authority shall, within fourteen d....
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....efect in his application within seven days of the date of receipt of such notice from the Adjudicating Authority. (6) The corporate insolvency resolution process shall commence from the date of admission of the application under sub-section (5) of this section. 5. While applying aforementioned provisions over the facts of the present case, it is seen that CD in reply to the demand notice (pg 34, para 3) has not raised any dispute to the outstanding dues to OC and has rather admitted that on 30.03.19, it was communicated to the OC that due to financial difficulties payment could not be made by CD. It is further reiterated that the CD vide reply to the petition dated 06.02.20 has acknowledged that there is existence of commercial ....
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....ncluding execution of any judgment, decree or order in any court of law, tribunal, arbitration panel or other authority; b) transferring, encumbering, alienating or disposing of by the CD any of its assets or any legal right or beneficial interest therein. c) any action to foreclose, recover or enforce any security interest created by the CD in respect of its property including any action under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002. d) the recovery of any property by an owner or lessor where such property is occupied by or in the possession of the CD. 10. The supply of the essential goods or services to CD as specified, are not to be terminated ....