Venus Cotsyn (India) Ltd vs G.L Jain Button Store Pvt Ltd

IN THE MATTER OF: M/s Venus Cotsyn (India) Ltd. .....Appellant Vs. M/s G.L. Jain Button Store Pvt. Ltd. ......Respondent Present : For Appellant: Mr. Harsh Garg, Advocate

For Respondents: Mr. Ashish Aggarwal, Mr. Hora, Advocates

30.07.2019 - The Appellant filed application u/s 9 of the Insolvency &

Bankruptcy Code, 2016 ('I&B' Code, for short) against 'M/s. G.L. Jain

Button Store Pvt. Ltd.' ('Corporate Debtor').

2. The Adjudicating Authority ('National Company Law Tribunal'),

Chandigarh Bench by impugned order dated 21st December, 2018 rejected

the same on the ground of pre-existing dispute.

3. At the stage of admission, it was submitted by the learned counsel for

the Appellant that whatever the dispute raised by the 'Corporate Debtor'

with regard to quality of goods was only with regard to a particular period

which was resolved amicably and that the 'Corporate Debtor' subsequently,

accepted the debt reflected in the ledger account. ...contd. 2

4. Learned counsel for Respondent ('Corporate Debtor') have appeared.

Respondent referred to different communications made through the

WhatsApp message as enclosed on pages 275 onwards which suggest that

either the dispute of damaged material or waste material was raised by the

Respondent and returned to the Appellant. We find that there is pre-existing

dispute with regard to invoices which were shown in the part four of form 5.

5. In view of the aforesaid position, we are not inclined to intervene in

the impugned order. Prayer is rejected.

6. However, impugned order or the order passed by this Appellate

Tribunal will not come in the way of Appellant to move before the appropriate

Forum for appropriate relief.

The appeal is dismissed. No costs.

[Justice S. J. Mukhopadhaya] Chairperson

[Justice A. I. S. Cheema] Member (Judicial)

[Kanthi Narahari] Member (Technical)

ss/sk Company Appeal (AT) (Insolvency)No.112 of 2019