CIRP Can Be Initiated even against Two Borrowers Falling under Ambit of Corporate Debtors: SC

Maitreya Doshi Vs Anand Rathi Global Finance Ltd. (Supreme Court) Apex Court held that If there are two borrowers or if two corporate bodies fall within the ambit of corporate debtors, there is no reason why proceedings under Section 7 of the IBC cannot be initiated against both the Corporate Debtors. Needless to mention, the same amount cannot be realised from both the Corporate Debtors. If the dues are realised in part from one Corporate Debtor, the balance may be realised from the other Corporate Debtor being the co-borrower. However, once the claim of the Financial Creditor is discharged, ...