CHENNAI: The National Company Law Tribunal (NCLT) has allowed the insolvency petition filed by the Chennai-based Wiz Logtec India Private Limited against Vivimed Life Sciences, a subsidiary of Strides Pharma Science Limited, for failing to pay a debt of Rs 1.37 crore.
Wiz Logtec India Private Limited initiated Corporate Insolvency Resolution Process (CIRP) against Vivimed Life Sciences Private Limited after it failed to pay Rs 1.21 crore, which it allegedly owed to the logistics company following an agreement signed between January 25, 2019, and August 3, 2020, for the export of pharmaceutical products, including customs clearance and transportation services.
As per the said agreement, the logistics company is required to raise invoices along with supporting documents. And so, Wiz Logtec India raised invoices on Vivimed Life Sciences for the services rendered, submitted advocate Gaurav Kumar, who appeared for the company. Out of all the invoices raised, the Chennai-based logistics firm received Rs 4.20 crore from Vivimed Life Sciences. However, in spite of repeated follow-ups Vivimed Life Sciences failed to settle the invoices amounting to a principal of Rs 1.21 crore, along with an interest of Rs 16.35 lakh at 18% per annum, totalling to Rs 1.37 crore, Kumar submitted.
Vivimed Life Sciences, represented by senior counsel Zubin Behramkamdin along with advocates Ziyad Madon and Meiron B Damania Jain, questioned the agreement and the invoices. However, NCLT observed that when the agreement is mutually executed by Wiz Logtec India and Vivimed Life Sciences with signature and seal, the mere fact that the agreement is not on a stamp paper or that the stamp duty has not been paid does not affect the valid claims of Wiz Logtec India arising out of such an agreement.
Allowing the insolvency petition, the Mumbai bench of NCLT has appointed Shekhar Arvind Parkhi as interim resolution professional to conduct the insolvency resolution process under the Insolvency and Bankruptcy Code, 2016. The NCLT bench also ordered the logistics company to deposit an amount of Rs 3 lakh towards initial CIRP costs.