The National Company Law Tribunal in the month of November initiated Corporate Insolvency Resolution Process against leading Delhi based construction group “Today Homes and Infrastructure” under Section 7 of the Insolvency and Bankruptcy Code, 2016 wherein a Financial Debtor can go against the Corporate Debtor.
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Facts of the case
The Construction group has been constructing Project site called Royal Elegancia in Gurugram wherein Dynacon the Corporate Debtor were appointed to carry out civil, electricity, plumbing and sanitary works. The contract net worth was close to about 42. 50 crores. The payment for the said contract was done on a monthly basis as per the structure provided by invoices raised by Dynacon for providing requisite services.
Arguments from both sides
Dynacon submitted close to about 18 RA bills which stipulates the commercial borrowing and also the existence of business transaction. Meanwhile, Today Homes raised plea of dispute in service provided. Also, stated that there existed service tax rate disputes and payments midst other types of deficiency of services. The same was rejected by the Bench. Subsequently Today Homes raised a plea for delay in service provided from the side of Dynacon and had pleaded for Rs 4.23 crore compensation.
Conclusion
Since Today Homes was not able to substantiate its grounds of plea with substantial documentary evidence the same was dismissed by the Court. Thereby appointing an Interim Resolution Professional with an upfront payment of R 2 Lakhs. And directing the ex officio members of the Company to provide with necessary documents such that Interim Resolution Professional is able to carry his job in a smooth manner.
