The National Company Law Tribunal, Chennai, has reserved its order on the insolvency petition filed against Insara Technologies, the parent company of online homestay aggregator Stayzilla. The petition was filed by one of its vendors Jigsaw Advertising and Solutions.
Legal circles reckon the judgment would be keenly watched, as it might set a precedent to deal with start-ups who are unable to settle vendor dues. Jigsaw had dragged Stayzilla founders to court alleging that the firm had defaulted on payments. Stayzilla’s Yogendra Vasupal in his blog post explained his side of the story and said, “Help! I need everybody.”