The Chennai bench of the National Company Law Appellate Tribunal (NCLAT) has ruled that if one Financial Creditor has already filed an application under Section 95 of the Insolvency and Bankruptcy Code (IBC), Section 96 of the Code prohibits another creditor from filing an application under the same provision against the same Personal Guarantor.
In order to start the Corporate Insolvency Resolution Process (CIRP) against the Respondent, the Personal Guarantor, the Appellant, Indian Bank, filed an application before the NCLT, Chennai Bench, under Section 95 of the Insolvency and Bankruptcy Code, 2016. On January 6, 2025, the NCLT rejected the application as infructuous, allowing the applicant to reapply at a later time….
