9911796707
TMI Blog2022 (9) TMI 14X X X X Extracts X X X X X X X X Extracts X X X X ..... hat the Respondent/Personal Guarantor was coerced into signing the Personal Guarantee agreement - HELD THAT:- The Law of Contract is very clear with respect to voidable contract that when consent to an agreement is caused by coercion, the agreement which is a contract is voidable at the option of the party whose consent was so caused. Meaning thereby that unless proved otherwise the said agreement would be valid and enforceable and since no action was taken to make the contract void it will remain valid and enforceable as per law. Production of vouchers and other supporting documents in support of the alleged debit entries - HELD THAT:- It is pertinent to mention here that the Applicant has registered the debt with the Information Utility i.e. NESL and the copy of the same is also annexed with the application filed by the Financial Creditor. Further, section 99(3) of the IBC, 2016 states that when the debt is registered with the information utility the debtor shall not be entitled to raise dispute to the validity of such debt. Hence, this contention of the Respondent is also not sustainable. After going through all the documents on record the Petition filed under the provi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1) of IBC, 2016 as per Section 99(7) of the Code. In terms of section 99(9), the reasons for admission of the application recorded in the Report are as follows:- The Corporate Debtor i.e. M/s. Hi Tech Grains Processing Pvt. Ltd., for meeting its working capital requirement approached the applicant by SBH Consortium aggregating Rs. 180.00 Crores vide Working Capital Consortium Agreement dated 12.03.2015. Further, the capital facilities were revised from time to time. That, Personal Guarantee agreement dated 06.06.2017 executed by Mr. Naresh Mittal and Mrs. Asha Mittal (The Personal Guarantors), in favour of SBI Consortium, for guaranteeing the principal sum of Rs. 305 Crores together with interest, costs, charges, expenses and/or other money for the time being due to the SBI Consortium in respect of the credit facilities, against all losses of the said principal and sum, all interest and/or other money due and all costs charges and expenses whatsoever which the SBI Consortium may incur by reason of any default on the part of the borrower in accordance with the terms of Working Capital Consortium Agreement dated 06.06.2017 and Joint Deed of hypothecation dated 06.06.2017 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... financial creditor, if already paid, but no response was received from the Personal Guarantor. The Resolution Professional has verified that the present application satisfies all the requirement as set out in section 95 of the Insolvency and Bankruptcy Code, 2016. The Resolution Professional scheduled a meeting with Mrs. Asha Mittal to collect the information/documents. However, Mr. Vipul Mittal (son of Asha Mittal) met with the RP. Mr. Vipul Mittal has informed that Mrs. Asha Mittal is not attending the office and he is taking care all the matters on her behalf. The RP collated some of the documents with respect to the finances of the Personal Guarantor including her Income Tax Returns, list of Immovable Properties etc. Based on the reason stated above, the Resolution Professional is of the view that application should be accepted and proceedings should be initiated with respect to the Individual Insolvency Resolution Process of Mrs. Asha Mittal (Personal Guarantor to M/s. Hi Tech Grain Processing Private Limited) in order to recover the outstanding debt payable as per the Personal Guarantee Agreement/deed executed dated 06.06.2017 between the SBI Consortium ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rtunity of understanding the contents, intent and purport thereof. iv. That, there were no financial defaults at all which could result into the loan facilities becoming Non-Performing Assets. v. That, the Corporate Debtor, till 28.02.2018 paid interest due in the loan accounts to the members of the consortium. All the loan facilities were prudential standard and regular on 15.03.2018. However, the Applicant illegally and arbitrarily declared and classified the loan facilities as NPA on 31.03.2018. vi. The Respondent reiterates that her signatures were obtained on unfilled and undated printed forms under deceit and deception. No opportunity was afforded by the officials of the Applicant on the pretext of completion of formalities. In fact, a bunch of such papers would be piled up on which x marks were made in pencil and the Respondent was asked to quickly append her signatures. The true nature and import of all such papers were never explained. Thus, any allegation of the Respondent having executed any such alleged documents filed and heavily relied upon by the Applicant is vehemently denied and disputed individually and specifically. Even copies of the said pape ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nies in totality the contentions raised by the respondent and the respondent are put to strict proof thereof. It is humbly submitted that neither the loan and security documents are invalid or non-enforceable nor the same are insufficiently stamped or devoid of consensus ad idem. The said contentions are raised for sake of raising the contention and are purely baseless and devoid of any law. That, the Deed of guarantee is duly signed by the respondent on 06.06.2017 in favor of Members of Consortium i.e. SBI, BOI, Andhra Bank, HDFC Bank, guaranteeing the principal sum of Rs. 305 crores together with all interest, cost, charge expenses and/or the other money due to the said banks in respect of the or under the above-mentioned credit facilities or any of them on demand by the bank. The applicant i.e., State Bank of India, in the rejoinder, has also filed Certificate Under Banker's Books of Evidence Act, 1981 5. We have heard the learned counsel for the parties and perused the record and the written submissions filed by both the parties. Three main issues were raised in the reply filed by the Respondent/Personal Guarantor. 1. The amounts the financial credi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nless proved otherwise the said agreement would be valid and enforceable and since no action was taken to make the contract void it will remain valid and enforceable as per law. 3. The third contention raised by the Respondent was that the Applicant has not placed on record the vouchers and other supporting documents in support of the alleged debit entries. It is pertinent to mention here that the Applicant has registered the debt with the Information Utility i.e. NESL and the copy of the same is also annexed with the application filed by the Financial Creditor. Further, section 99(3) of the IBC, 2016 states that when the debt is registered with the information utility the debtor shall not be entitled to raise dispute to the validity of such debt. Hence, this contention of the Respondent is also not sustainable. 6. Based on the above and the reasons recorded in the report submitted by the Resolution Professional, and after going through all the documents on record the Petition i.e., IB -353/ND/2021, filed under the provisions of Section 95 of IBC, 2016, is hereby admitted under section 100 of the IBC, 2016. The Insolvency Resolution Process is initiated against the Persona ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Resolution Professional recommends that a meeting of the creditors is not required to be summoned, he shall record the reasons thereof. If the Resolution Professional is of the opinion that the meeting of the creditors should be summoned, he shall specify the details as provided under Section 106(3). The date of meeting should not be less than 14 days or more than 28 days from the date of submission of the Report under Sub-section (1) of Section 106 of the IBC, 2016, for which at least 14 days' notice to the creditors [as per the list prepared] shall be issued by all modes. Such notice must contain the details as provided under the provisions of Section 107 of the IBC, 2016. 10. The meeting of the creditors shall be conducted in accordance with Sections 108, 109, 110 111 of the IBC, 2016. The Resolution Professional shall prepare a report of the meeting of the creditors on the Repayment Plan with all details as provided under Section 112 of the IBC, 2016 and submit the same to this Adjudicating Authority, copies of which shall be provided to the debtor and the creditors. It is made clear that the Resolution Professional shall perform his functions and duties in compli ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
