- (1.) The Operational Creditor namely Essar Projects India Ltd. (EPIL) has filed this Operational Creditor Petition stating that the Corporate Debtor Company MCL Global Pvt. Ltd. (MCL) has defaulted in repaying a sum of Rs.9,10,60,788/- and hence this Petition under section 8 & 9 of the I & BP Code r/w. Rule 6 of Insolvency and Bankruptcy (Application to adjudicating authority) Rules, 2016 for initiation of Corporate Insolvency Resolution process.
(2.) The petitioner says that the corporate Debtor (MCL) and the Petitioner (EPIL) entered into a Memorandum of Understanding on 27.6.2013 wherein MCL had appointed EPIL to carry out civil work, structural fabrication and erection of building and sheds and the erection of technological equipment as part of construction of 0.2 MTPA Steel Melt Shop Complex at Pithampur, Dist. Dhar, Madhya Pradesh. EPIL raised invoices for the works successfully completed by November 30, 2014 which was agreed between the parties and a substantial portion of the invoice raised currently remains outstanding. It is further stated that a sum of Rs.6,72,03,097/- is due towards unpaid invoices and a sum of Rs.2,38,57,691/- interest at the rate of 18% p.a. as on 30.11.2016 aggregating to Rs.9,10,60,788/- The details of invoices and the amount due along with interest is enclosed as Annexure - E to the Petition.
(3.) The EPIL has sent many letters to MCL asking them to make the repayment, in furtherance of it, EPIL, on 28.12.2016, has issued a statutory notice against MCL under the Bankruptcy Code, 2016 attaching the invoices with a demand for repayment of a sum of Rs.9,26,40,255/-. In response to it, MCL on 03.01.2017, replied saying that the contents of the notice are incorrect, misleading, therefore, denied and further added that the remedy under section 8(1) and 9 of I & BP Code, 2016 are not available to EPIL to institute corporate insolvency proceedings for the reason that, MCL seriously disputes the amount, because there is a dispute regarding the quality of construction, the timeline of construction, loss due to delay in construction, work completion certificate is also not issued by MCL, apart from this, outstanding bills have not been verified and satisfied, therefore MCL further says, there are serious disputes about enforceability of the Contract between them and the amount to be recovered is not admitted by MCL as alleged by EPIL, etc. Subsequently, on 30.01.2017, EPIL sent a revised demand notice to MCL demanding a sum of Rs.9,10,60,788/- comprising the invoice amount Rs.6,72,03,097/- and the interest at the rate of 18% p.a. on the dues upto 30.11.2016 which works out to Rs.2,38,57,691/-, in total Rs.9,10,60,788/-. The said notice also discloses that the date of invoice, due date, invoice Number, amount outstanding, interest and the total outstanding.;