Mohd. Sharief Tariq, Member - (1.) Under Adjudication is CP/577/(IB)/2017 that has been filed by the Operational Creditor under Section 9 of the Insolvency & Bankruptcy Code 2016 (in short, 'I & B Code, 2016') r/w. the Insolvency & Bankruptcy (Application to Adjudicating Authority Rules, 2016). The prayer made is to admit the Application, to initiate the Corporate Insolvency Resolution Process against the Corporate Debtor, declare moratorium and appoint Interim Resolution Professional (IRP) under the Insolvency and Bankruptcy Code, 2016 (I & B Code).
(2.) Heard the Ld. Sr. Counsel for the Operational Creditor and Counsel for the Corporate Debtor, and perused the record.
(3.) In the Petition, the Operational Creditor submitted that the outstanding debt is amounting to Rs. 23,15,52,800/- which was due and payable on account of part completion of civil construction work as per the agreement dated 06.01.2014. As per the terms of agreement, payment towards running bills had be on a monthly basis as per actual work done. 75% of monthly progress bills were to be paid within 7 days and balance 25% within 21 days from the date of submission of the said bill. The Operational Creditor has carried the civil construction work as per the said agreement, but the Corporate Debtor did not pay for the bills submitted. The Operational Creditor has placed the communications of the Corporate Debtor at pages 122 and 126 of the typed set filed with the Petition wherein the Corporate Debtor in categorical terms admitted the outstanding amount due and payable to the Operational Creditor. Ultimately, notice under Section 8 of I & B Code, 2016 has been given to the Corporate Debtor, copy of which is placed at page 127 of the typed set filed with the Petition to which reply has been given by the Corporate Debtor on 28.07.2017 mentioning therein that they expect to make the payment at least within the period of 3 to 4 months. The copy of the reply is also placed on record.;