The National Company Law Tribunal (NCLT) Kochi bench of Madhu Sinha (Member Technical) and Vinay Goel (Member Judicial) has held that past liabilities incurred before the execution of the Agreement of Guarantee cannot be included in it unless an explicit clause covering such liabilities are explicitly incorporated in the Agreement.
The present petitions have been filed under section 95 of the Insolvency and Bankruptcy Code, 2016 (IBC) to initiate Personal Insolvency Resolution Process (PIRP) against the personal guarantors of the Corporate Debtor.
The Petitioner submitted that the invoices pertain to supplies made before 04.01.2022, and although not fully paid, payments were made after execution of the Credit and…