The National Company LawTribunal (NCLT), Kochi Bench, has held that insolvency proceedings can be initiated simultaneously against both borrower and guarantor, while admitting Axis Bank Ltd’s petition under Section 7 of the Insolvency and Bankruptcy Code (IBC), 2016, seeking initiation of the Corporate Insolvency Resolution Process (CIRP) against IMOST Academy (India) Private Limited over a ₹5.7 crore loan default.
IMOST Academy, a privately owned educational institution in Ernakulam, Kerala, had availed multiple credit facilities from Axis Bank between 2019 and 2022. These included a ₹6.5 crore term loan and ₹75 lakh working‑capital facility under the SME Plus Scheme,…