Appellant is unsecured Financial Creditor as creation of security interest on assets of Corporate Debtor not proved: NCLAT Delhi

Unity Small Finance Bank Ltd. Vs Sripatham Venkatasubramanian Ramkumar (NCLAT Delhi) NCLAT Delhi held that as creation of security interest on the assets of Corporate Debtor not proved by any documents, Resolution Professional duly declared Appellant as unsecured Financial Creditor. Facts- Punjab & Maharashtra Co-operative Bank Ltd. sanctioned mortgage overdraft facility to the Corporate Debtor. Various documents creating security interest in favour of the PMC Bank was executed including mortgage of immovable property and mortgage of land. The Corporate Debtor being unable to repay the ove...