NCLT admits insolvency plea against Compuage Infocomm

livemint.com:

₹1.7 crore as on 31 March 2022. Compuage is a distributor in the information technology and mobility space catering to resellers, retailers, brand stores, and system integrators in India. Plus Plus is in the business of consulting, advertising, publicity, sales promotion, public relations, market and sales research and other allied activities.

A bench led by Justices Kuldip Kumar Kareer and Anuradha Bhatia admitted the petition and appointed Arun Kapoor as the interim resolution professional to oversee the day-to-day affairs of the company. The court has also asked the financial creditor to deposit ₹5 lakh towards the initial corporate insolvency resolution process (CIRP) costs. According to the order, Compuage through its directors had approached and requested the financial creditor to advance a short-term loan for its working capital requirement.

The creditor stated that it was mutually agreed and decided that Plus Plus shall provide an intercorporate loan amounting to ₹3.65 crore to the company as per the terms and conditions of the loan agreement dated 2 August 2021. The company’s directors Atul Mehta and Bhavesh Mehta had also executed ‘guarantee deeds’ in favour of the financial creditors guaranteeing jointly and severally the repayment of the said loan. Subsequently, Compuage repaid an amount of ₹2 crore by October 2021 and continued to pay the interest amount on a quarterly basis.

Nausher Kohli, representing the financial creditor, informed the tribunal that despite repeated requests for loan repayment the company did not make any payments. Later, while responding to some letters, Compuage said that it was facing financial difficulties. However, it agreed to make the payments by January 2023.