G. SREEVIDHYA Vs. KARISMAA FOUNDATIONS PVT. LTD.

JUDGEMENT

(1.) This application has been filed by the plaintiff seeking for summary judgment against the defendants in terms of the suit prayers as the plaintiff contends that the defendants have no real prospect of successfully defending the suit claim.

(2.) In the forthcoming paragraphs, the parties are described as per their litigative status in the main suit. The plaintiff is the land owner and the first defendant is the builder. The defendants 2 to 4 are the Directors of the first defendant company. The plaintiff had paid a sum of Rs.1,50,00,000.00 as advance to the first defendant, for construction of a building. The plaintiff thought it fit not to proceed with the construction thereafter and therefore, sought for refund of the advance from the first defendant. The first defendant had also not commenced the construction work on receipt of the advance amount of Rs.1,50,00,000.00 from the plaintiff. The cheque issued by the first defendant towards refund of the advance amount to the plaintiff was also returned dishonoured for 'insufficiency of funds', which resulted in the plaintiff filing the suit as well as filing parallel proceedings before the National Company Law Tribunal under the Insolvency and Bankruptcy Code, 2016. The National Company Law Tribunal had dismissed the application of the plaintiff and aggrieved by the same, the plaintiff had preferred an appeal before the National Company Law Appellate Tribunal. The National Company Law Appellate Tribunal, after setting aside the order of the National Company Law Tribunal, remanded the matter back to the National Company Law Tribunal for fresh consideration. The above stated facts are un-disputed facts.

(3.) However, before the National Company Law Tribunal (NCLT), subsequent to the order of remand passed by the National Company Law Appellate Tribunal, the plaintiff and the first defendant represented by the second defendant entered into a Memorandum of Compromise dtd. 14/9/2019. Under the Memorandum of Compromise, the first defendant undertook to pay towards full and final settlement of the plaintiff's claim a sum of Rs.1,25,00,000.00 in two tranches, as detailed hereunder: a)Rs.55,00,000.00 (Rupees Fifty Five Lakhs) on withdrawal of the Company Petition vide two Demand Drafts dtd. 13/9/2019 bearing D.D. No.102847 for Rs.20,00,000.00 drawn on Axis Bank and D.D. No.000910 for Rs.35,00,000.00 drawn on Axis Bank; b)Rs.70,00,000.00 (Rupees Seventy Lakhs) vide Cheque No.001114 dtd. 31/3/2020 drawn on ICICI Bank Limited.