Ram Charan Company Pvt Ltd, an operational creditor, filed a petition under Section 9 of the Insolvency and Bankruptcy Code, 2016, against Stallion Tyres Ltd, the corporate debtor, before the NCLT Hyderabad. The operational creditor claimed that the corporate debtor had defaulted on payments. During the proceedings, the operational creditor and the corporate debtor reached a settlement. The corporate debtor made the payment to the operational creditor. Consequently, the operational creditor filed a withdrawal memo, stating that they had received the payment. The petition was not yet admitted by the NCLT when the withdrawal request was made. The NCLT considered the withdrawal request and the fact that the claim had been settled.

Ram Charan Company Pvt Ltd, an operational creditor, filed a petition under Section 9 of the Insolvency and Bankruptcy Code, 2016, against Stallion Tyres Ltd, the corporate debtor, before the NCLT Hyderabad. The operational creditor claimed that the corporate debtor had defaulted on payments. During the proceedings, the operational creditor and the corporate debtor reached a settlement. The corporate debtor made the payment to the operational creditor. Consequently, the operational creditor filed a withdrawal memo, stating that they had received the payment. The petition was not yet admitted by the NCLT when the withdrawal request was made. The NCLT considered the withdrawal request and the fact that the claim had been settled.