New Delhi: Wipro Limited has requested the National Company Law Tribunal (NCLT) to dismiss an insolvency plea filed by Ivalua, a cloud service provider based in California. The plea was made on Tuesday.
Wipro’s legal team argued that they shouldn’t have to pay the disputed invoices because the services from Ivalua never moved beyond the “proof of concept” stage. This “proof of concept” phase is a testing period where the service is evaluated before full adoption. Wipro claims they already paid Ivalua for this phase, and no further service was provided, making the additional invoices unjustified. The amount in dispute is about ₹2.81 crore.
Ivalua had filed a corporate insolvency resolution process (CIRP) petition against Wipro over unpaid bills related to cloud services it provided. According to Ivalua’s counsel, the company provided these services under an agreement dated July 28, 2021, and issued three invoices, each over $100,000. They also noted that Wipro did not respond to a demand notice within the required seven-day period as per the Insolvency Bankruptcy Code.
The NCLT has given Ivalua time to respond and has scheduled the next hearing for July 24.
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