RAHUL TECHNOCRAFTS PVT LTD Vs. HEG LIMITED

JUDGEMENT

(1.) The petitioner has filed this petition on the ground that the respondent company purchased a machinery from the petitioner company. It had paid 50% of the total amount of Rs.32 lacs and it was agreed that after successful trial the balance payment shall be paid after eighteen months of the delivery. The petitioner supplied the machinery. The trial was successful. However, amount of Rs.13,81,307/- was not paid to the petitioner inspite of various demand letters. The petitioner claimed that the respondent company is liable to pay total amount of Rs.46,41,55.27 including the interest as principle and interest whereon 25.6.2014. The respondent company failed to repay the amount and honour its liability, hence the winding proceedings be initiated against the respondent company.

(2.) The respondent in its reply denied the pleadings of the petitioner. It pleaded that the claim of the petitioner is baseless. It has further been pleaded by the respondent that the petitioner had supplied defective machinery to the respondent, hence, it had incurred expenditure of Rs. 4,54,414/- to remove the defect for smooth running of machinery. The petitioner did not fulfill its commitment of successful commissioning of machinery. The respondent also disputed the fact that there is any liability in regard to making of the payment to the petitioner. It is further pleaded that there is an arbitration clause in the contract, hence, the dispute be resolved by arbitration.

(3.) The respondent company is a public limited company incorporated under the Companies Act. It is listed in the Stock Exchange and is a profiting making company.