R. Varadharaian, Member - (1.) This is a petition filed by the Operational Creditor against the Corporate Debtor. The Applicant/Operational Creditor claims that he was appointed as Clearing & Forwarding (C&F) Agent to deal with the distribution & supply of the products of the Corporate Debtor (in the Territory of Andhra Pradesh) who is engaged in the business of manufacturing /processing food products.
(2.) An Agreement dated 1st May, 2014 was also executed in relation to the C&F Agency between the Operational Creditor and Corporate Debtor and subsequently, as per agreement, a sum of Rs.5 Lakhs was also deposited with the Corporate Debtor by way of refundable security deposit and that the Operational Creditor was also authorized by the Corporate Debtor for obtaining a VAT & CST Registration in relation to the transfer of goods to the Depot address.
(3.) The Operational Creditor further claims that business of the Corporate Debtor was stopped in the State of Andhra Pradesh from 01.11.2015 and subsequent to the same, no interest has been paid in relation to the security deposit of Rs.5 Lakhs and in this connection, even though, the Operational Creditor had approached the Corporate Debtor for final settlement of the claims in the month of December, 2015, there has been no positive response from the Corporate Debtor. It is also averred that for the period ended 30.9.2015, the Corporate Debtor has confirmed the accounts and presently, as on date, a sum of Rs.17,39,623/- is outstanding as on 13.2.2017.;