# In the matter of Tata Consultancy Services Limited C.P. (IB) 2583-MB-2019

> NCLT judgment dated 2020-04-30. Citation: TCN-2020-NCLT-01390. The case involves a petition filed by AMI Tech (India) Private Limited against Tata Consultancy…

- **Court:** NCLT
- **Order date:** 30 Apr 2020
- **Citation:** TCN-2020-NCLT-01390
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/tata-consultancy-services-limited-cp-ib-2583-mb-2019-e2434888

## Summary

### Background

The case involves a petition filed by AMI Tech (India) Private Limited against Tata Consultancy Services Limited (TCS) under Section 9 of the IBC, 2016, for unpaid dues related to the supply of Automated Meter Reading (AMR) devices. AMI Tech supplied AMRs to various Distribution Companies (DISCOMs) in Gujarat and Andhra Pradesh based on purchase orders from TCS. Disputes arose regarding the quality of modems, delays, and non-payment. AMI Tech claimed a total due of ₹20,07,52,561, including interest. TCS denied the liability, citing deficiencies in the supplied modems, non-submission of requisite certificates, and delays. The Corporate Debtor raised disputes across both the projects and referred to various email communications.

## Facts

AMI Tech (India) Private Limited supplied Automated Meter Reading (AMR) devices to various Distribution Companies (DISCOMs) in Gujarat and Andhra Pradesh based on purchase orders from Tata Consultancy Services Limited (TCS). For Gujarat, AMI Tech supplied 50,297 AMR units and 230 DCUs, with 46,509 units installed and 32,000 commissioned. Invoices were raised from 28.12.2010 to 01.07.2013, totaling ₹28,72,95,617, of which TCS paid ₹23,95,67,700, leaving ₹4,77,27,917 due. For Andhra Pradesh, AMI Tech supplied 1,04,000 AMR units, with 90,421 installed and 81,995 commissioned. Invoices were raised from 30.06.2011 to 28.03.2014, totaling ₹36,78,34,937, of which TCS paid ₹31,08,15,465, leaving ₹5,70,19,473 due. AMI Tech claimed additional investments of ₹1,90,00,000 for

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## Issues and analysis

### Issue 1: Whether there were pre-existing disputes between AMI Tech and Tata Consultancy Services that would …

**Ratio:** Section 5(6) of the IBC defines 'dispute' to include a suit or arbitration proceedings

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**Reasoning:** The NCLT reviewed email communications and other documents presented by both parties and

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**Interpretation:** The court interpreted Section 5(6) of the IBC to mean that if there is a

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**Application:** The court applied the ratio to the facts by examining the email communications

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## Parties

- **Judges:** SUCHITRA KANUPARTH…; V. Nallasen…; +1 more
- **Appellants:** AMI Tech (India)…
- **Respondents:** TATA Consultancy…

## Timeline

- **2010-08-17 — Purchase Order…**: Commencement of 15 purchase orders placed…
- **2010-12-28 — Invoices Raised…**: Petitioner raised invoices on the Corporate Debtor from 28.12.2010 to 01.07.2013 for…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 5(6) — Definitions](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-5)

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