Limitation against Corporate Guarantor Commences from Invocation of Guarantee, Not NPA Classification: NCLT Admits Insolvency Petition [Read Order]
The National Company Law Tribunal (NCLT) Kolkata Bench has held that the limitation period for initiating insolvency proceedings against a corporate guarantor commences from the date of invocation of the guarantee and not from the date on which the borrower’s account was declared Non-Performing Asset (NPA). The Financial Creditor had extended various credit facilities to…