Bharat Heavy Electricals Limited (BHEL) filed an appeal against the decision of the Respondent (Liquidator of Nagarjuna Oil Corporation Limited - NOCL) rejecting BHEL's claim as an operational creditor. BHEL had entered into a purchase order with NOCL in 2010 to supply a hydrogen recycle gas compressor package. BHEL received 35% of the purchase price as advance but NOCL failed to open a Letter of Credit for the remaining amount. CIRP was initiated against NOCL in 2017, and BHEL filed its claim with the RP and later with the Liquidator. The Liquidator rejected BHEL's claim, stating that the compressor was not delivered at the site.
In 2010, Bharat Heavy Electricals Limited (BHEL) entered into a purchase order with Nagarjuna Oil Corporation Limited (NOCL) to supply a hydrogen recycle gas compressor package for Rs. 25.90 Crore. BHEL received 35% of the purchase price (Rs. 9.06 Crore) as advance payments. NOCL was required to open a Letter of Credit for the remaining 60% of the purchase price two months prior to the start of dispatches, but failed to do so. BHEL claimed it was ready to dispatch the goods. NOCL stated that the equipment was under hold due to a revised project schedule. In 2013, BHEL sent a letter to NOCL requesting the opening of the Letter of Credit. CIRP was initiated against NOCL in 2017. BHEL filed its claim with the Resolution Professional (RP) and later with the Liquidator. The
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Purchase Order No.…
The Appellant entered into Purchase Order No.…
Bharat Heavy Electricals Limited (BHEL) filed an appeal against the decision of the Respondent (Liquidator of Nagarjuna Oil Corporation Limited - NOCL) rejecting BHEL's claim as an operational creditor. BHEL had entered into a purchase order with NOCL in 2010 to supply a hydrogen recycle gas compressor package. BHEL received 35% of the purchase price as advance but NOCL failed to open a Letter of Credit for the remaining amount. CIRP was initiated against NOCL in 2017, and BHEL filed its claim with the RP and later with the Liquidator. The Liquidator rejected BHEL's claim, stating that the compressor was not delivered at the site.
In 2010, Bharat Heavy Electricals Limited (BHEL) entered into a purchase order with Nagarjuna Oil Corporation Limited (NOCL) to supply a hydrogen recycle gas compressor package for Rs. 25.90 Crore. BHEL received 35% of the purchase price (Rs. 9.06 Crore) as advance payments. NOCL was required to open a Letter of Credit for the remaining 60% of the purchase price two months prior to the start of dispatches, but failed to do so. BHEL claimed it was ready to dispatch the goods. NOCL stated that the equipment was under hold due to a revised project schedule. In 2013, BHEL sent a letter to NOCL requesting the opening of the Letter of Credit. CIRP was initiated against NOCL in 2017. BHEL filed its claim with the Resolution Professional (RP) and later with the Liquidator. The
…Purchase Order No.…
The Appellant entered into Purchase Order No.…