NCLT issues notice on Paytm’s insolvency plea against WinZO over ₹3.6 cr advertising dues
Paytm, represented by Senior Advocate Krishnendu Datta, contended that WinZO had failed to clear dues arising from four invoices raised under purchase orders for promoting its real-money gaming products on the Paytm app.
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The National Company Law Tribunal (NCLT) has issued a notice on an insolvency petition filed by fintech firm Paytm’s parent company, One97 Communications, against online gaming platform WinZO, over alleged non-payment of ₹3.6 crore for advertising services.
The case was heard by a Bench comprising Judicial Member Justice Jyotsna Sharma and Technical Member Anu Jagmohan Singh. The tribunal granted WinZO two weeks to file its reply, scheduling the next hearing for December 15.
Paytm, represented by Senior Advocate Krishnendu Datta, contended that WinZO had failed to clear dues arising from four invoices raised under purchase orders for promoting its real-money gaming products on the Paytm app. Each invoice carried a 60-day payment term, and a demand notice was issued on October 1, 2025. Despite this, the company allegedly made no payment.
Datta submitted that the advertisements were delivered in full and that WinZO never disputed the ad placements. “There is no communication or email where they say advertisements were not placed,” he argued. Paytm further stated that the validation data from AppFlyer — a tool used to track ad campaigns — had been provided as per contractual terms, fulfilling all obligations.
In response, WinZO, represented by Senior Advocate Abhishek Malhotra, denied liability. The company relied on Clause 14 of the purchase order, which required invoices to be validated through email before becoming payable. Malhotra pointed to internal correspondence showing that the invoices were “under validation” and had been forwarded to the central team for verification, contending that payment was therefore not yet due.
Paytm dismissed this argument as a “sham defence,” alleging that WinZO was using procedural excuses to delay payment. Datta also argued that the company’s non-payment coincided with the government’s ban on online real-money gaming, suggesting that financial distress caused by the ban could be the real reason behind the default.
After hearing preliminary arguments from both sides, the NCLT observed that WinZO could present its defence in a counter statement and formally issued notice to the gaming platform. The matter has been adjourned to December 15 for further consideration.
