When claim and counter claims are involved Liquidator cannot decide the same – FLSmidth Pvt. Ltd. Vs. Lanco Infratech Ltd. – NCLAT Chennai
It is the Appellant’s case that CD having awarded the purchase order and the work order failed to honor its obligations and therefore, the Appellant could not get the expenditure incurred by it on these accounts to the tune of Rs.31.71 crore from the CD and therefore, it should be considered a debt due to be repaid by the CD. The RP admitted an amount of Rs.13.47 crore only.
NCLAT observed that Liquidator has given sufficient reasons for disallowing the claim of the Appellant in her letter to the Appellant. NCLT, Hyderabad have dealt on these issues in detail and given succinct reasons as to why they have accepted the submission and reasoning of the Liquidator as to why she has rejected the claim of the Appellant. They have rightly held that when claim and counter claims are involved Liquidator cannot decide the same and therefore the Liquidator rightly rejected the claim.