The company appeals were filed by the personal guarantors of the corporate debtor, challenging the order admitting the Insolvency Resolution Process (IRP) against them u/s 95 of the IBC, 2016.
The issues before the Ld. NCLAT were whether the demand notice was properly served and whether the initiation of the proceedings was barred by the limitation.
Background of the Case
The corporate debtor availed the loan facility from the financial creditor and the appellants were the personal guarantors for the same. The accounts of the corporate debtor were classified as the NPA in 2015, and the DRT issued the debt recovery certificate after concluding the debt recovery proceedings in 2019.
Subsequently, the financial…