Nowfloats Technologies Private Limited Vs. Getit Infoservices Private Limited, [(C.P. no (I.B.) 45(PB)/2017] - Synopsis
Team SoOLEGAL 4 Feb 2021

In this case, Nowfloats Technologies Private Limited Vs. Getit Infoservices Private Limited, [(C.P. no (I.B.) 45(PB)/2017], the respondent company and the claimant had entered into a service arrangement in which the applicant company had agreed to provide such IT-related services to the respondent company and had, from time to time, received invoices for services provided since 2014 for payment of the service fee. However, the company in question has defaulted on payment of dues and that at present the amount of Rs. 1,93,37,105/-is due, except for the interest owed by the respondent company to the claimant. The claimant had already brought litigation against the respondent before the High Court of Delhi according to the terms of the Companies Act,1956, for which the appeal was approved by the Court and an official liquidator was duly approved.
According to the Bench, the provisions of the Companies Act, 1956 shall control the litigation pending before the Hon'ble High Court of Delhi and not the Companies Act, 2013 as claimed by the petitioner. Having taken into account the order of the High Court and the Notice of the Central Government dated 15th December 2016, the Bench noted that no action or other legal proceeding against the Company is to be taken, except by leave of the High Court, which has seized of the winding-up proceedings. It must be borne in mind that both the winding-up of proceedings under the former Companies Act 1956 and the Insolvency Resolution Process are undertaken for the good of the general body of creditors and are representative acts and not for the recovery of money from particular creditors for which claims are actually expected to be submitted to the Official Liquidator or the Interim Resolution Professional. In this case, however, the applicant did not receive any leave as alluded to above and, therefore, the application made under the Code was denied.


C2RMTo Know More

Something Awesome Is In The Work









Sign-up and we will notify you of our launch.
We’ll also give some discount for your effort :)

* We won’t use your email for spam, just to notify you of our launch.