2022 (5) TMI 1254

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....solution Process in respect of respondent company, claimed to be the corporate debtor. 2. The applicant, Swastik Pipe Ltd. has filed the present application claiming as the operational creditor with the prayer for initiation of Corporate Insolvency Resolution Process under the provisions of the Code. 3. The details of transactions leading to the filing of this petition as averred by the petitioner are as follows:     a. The Operational creditor used to supply C.R. Sheets to the Corporate Debtor.     b. The Operational Creditor sent a Demand Notice dated 03.12.2019 demanding payment of an unpaid operational debt i.e. Rs. 3,89,265/- as per provisions under Rule 5 of the Insolvency and Bank....

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....9. Hence the applicant succeeded in proving the fact that the above said amount was due against the C.R. Strips which were sold by the applicant to the respondent and the said amount was not paid qua. It has been repeatedly held that the Scheme of the code is to ensure that when a default takes place, in the sense that a debt becomes due and is not paid, the insolvency resolution process begins. Resultantly, since there is no dispute raised by the Corporate Debtor, in fact the corporate debtor has clearly admitted that a default has occurred. 6. In view of the foregoing documents and the averments made, this Tribunal is of the affirm view that there was default on the part of the respondent in pursuance of invoices raised on behalf of th....