2022 (10) TMI 638

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....fter referred to as CD) seeking to initiate Corporate Insolvency Resolution Process (CIRP) against the Corporate Debtor (CD) for the default committed by the CD with regard to the debt that is due to the OC. 2. The basic facts on which the reliefs are based are as follows: i). The OC is involved in the business of manufacturing of TMT Bars and value added activities and supplied TMT Bars to the CD which is a Private Limited Company. Invoices were generated in the name of the CD who is majorly in the business of manufacturing (metals & chemicals and products thereof). The CD issued a Purchase order. ii). The goods were received and accepted by the CD, there was no dispute at the time of delivery of the goods or thereafte....

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.... due to the protests happening at that time. The access was denied to the CD for the reason that the CD was using low quality material, which was not true. Due to the low quality material supplied, the CD had to face huge financial loss and even work order was cancelled. The CD should have filed for the damages in the appropriate forum. The non-payment was neither willful nor wanton, hence the Company Petition is liable to be dismissed. 4. Rejoinder was filed by the OC, contending that with regard to Purchase Order dated 22.08.2018 the OC supplied part material and raised invoices namely Invoice No. 158 dt. 25-08-2018 and Invoice No. C-169 dated 01.09.2018. Immediately, acceding to the request of the CD to replace the part material deliv....

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....ent its representative for an amicable settlement. On the above grounds the Operational Creditor seeks to allow the Petition. 6. Heard the Counsel for the Operational Creditor. None appears for the Corporate Debtor, The arguments of the both sides were heard earlier on 25.04.2022 & 12.09.2022 and the matter was adjourned with the following docket order: "The Counsel for the Corporate Debtor, after arguing the matter, seeks time till tomorrow for getting instruction with regard to the willingness of his client for discharging the claim amount. List the matter on 13.09.2022." 7. Later on, the Corporate Debtor did not turn up on 13.09.2022 and the Court made the following order: "None appears for the Corporate Debtor, i....

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....de by the Operational Creditor, it has to be considered that the Corporate Debtor does not have anything to say against the contentions of the Counsel for the Operational Creditor. Hence, considering the above, this Company Petition needs to be admitted and is accordingly the CP (IB) No. 41/9/AMR/2020 admitted. ORDER The Company Petition is admitted. The Corporate Insolvency Resolution Process of the Corporate Debtor shall commence from this date and shall be completed within 180 days hence. i. Mr. Srinivas Rao Gudla, (Registration No. IBBI/IPA-001/IP-P-02093/2020-2021/13333), having office at 6-20-20/3, Flat No. 201, Aqua Towers, East Point Colony, Back Gate, Chaitanya College, Visakhapatnam, Andhra Pradesh-530017; Mobile: 8....