The Mumbai Bench of National Company Law Tribunal (NCLT) admitted PNB’s Section 7 application against the Respondent for default exceeding ₹39 crore, arising mainly from invocation of bank guarantees worth ₹54.34 crore. The debits led to classification of the account as NPA on 30.06.2023. The Tribunal rejected the Corporate Debtor’s objections and held that debt and default were duly proved.
The Appellant/Financial Creditor, Punjab National Bank filed an application under Section 7 of the Insolvency and Bankruptcy Code, 2016 against the Respondent/Corporate Debtor, Damara Gold Private Limited, seeking to initiate Corporate Insolvency Resolution Process (CIRP).
Punjab National Bank sanctioned various credit…