Financial creditor can initiate insolvency resolution process u/s. 7 of IBC against co-borrower: NCLAT Delhi

Amit Narang Suspended Director of Narang Developers Private Limited Vs Aditya Birla Finance Limited (NCLAT Delhi) NCLAT Delhi held that insolvency resolution process against co-borrower justified as obligation of the Co-Borrower is coextensive and coterminous with that of the Primary Borrower. Accordingly, application u/s. 7 by the Financial Creditor against co-borrower duly admitted by Adjudicating Authority. Facts- A Section 7 application under IBC was filed against the Corporate Debtor-Narang Developers Pvt. Ltd (NDPL) by Aditya Birla Finance Ltd-Financial Creditor. The Financial Creditor, ...