The case involves an application filed under Section 9 of the Insolvency and Bankruptcy Code, 2016, by Mr. Kannaia Pillai Selvam, Proprietor of M/s. Clarion Enterprises (Operational Creditor), against M/s. EDAC Engineering Limited (Corporate Debtor) for initiation of the Corporate Insolvency Resolution Process (CIRP). The Operational Creditor claimed that the Corporate Debtor defaulted on payments for the supply of various types of Electrodes. The Corporate Debtor disputed the claim, alleging delays in supply and raising disputes, while the Operational Creditor refuted these claims, stating that the Corporate Debtor had admitted its liability and that the defense was an afterthought.
Mr. Kannaia Pillai Selvam, operating as M/s. Clarion Enterprises, supplied electrodes to M/s. EDAC Engineering Limited. The total invoices raised amounted to Rs. 2,96,32,900 between 2017 and 2021, against which only Rs. 11,12,536 was paid. The Operational Creditor claimed a default of Rs. 2,85,20,363 as principal and Rs. 2,64,73,237 as interest, totaling Rs. 5,49,93,600, with the date of default being 18.04.2021. The Corporate Debtor argued the petition was false, frivolous, and barred by limitation, alleging delays in supply and raising disputes. The Corporate Debtor also pointed to an arbitration clause in the purchase order. The Operational Creditor refuted these claims, stating that the Corporate Debtor had admitted its liability in meetings and emails and that the
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EDAC Engineering Limited was…
The Operational Creditor raised 187 invoices…
The case involves an application filed under Section 9 of the Insolvency and Bankruptcy Code, 2016, by Mr. Kannaia Pillai Selvam, Proprietor of M/s. Clarion Enterprises (Operational Creditor), against M/s. EDAC Engineering Limited (Corporate Debtor) for initiation of the Corporate Insolvency Resolution Process (CIRP). The Operational Creditor claimed that the Corporate Debtor defaulted on payments for the supply of various types of Electrodes. The Corporate Debtor disputed the claim, alleging delays in supply and raising disputes, while the Operational Creditor refuted these claims, stating that the Corporate Debtor had admitted its liability and that the defense was an afterthought.
Mr. Kannaia Pillai Selvam, operating as M/s. Clarion Enterprises, supplied electrodes to M/s. EDAC Engineering Limited. The total invoices raised amounted to Rs. 2,96,32,900 between 2017 and 2021, against which only Rs. 11,12,536 was paid. The Operational Creditor claimed a default of Rs. 2,85,20,363 as principal and Rs. 2,64,73,237 as interest, totaling Rs. 5,49,93,600, with the date of default being 18.04.2021. The Corporate Debtor argued the petition was false, frivolous, and barred by limitation, alleging delays in supply and raising disputes. The Corporate Debtor also pointed to an arbitration clause in the purchase order. The Operational Creditor refuted these claims, stating that the Corporate Debtor had admitted its liability in meetings and emails and that the
…EDAC Engineering Limited was…
The Operational Creditor raised 187 invoices…