NPA of a Company defaulting in repayment of loan can be assigned for the debt

Hindon River Mills Ltd. Vs. IFCI Ltd. & Anr. (Delhi HC) –  Notwithstanding IFCI Bank Ltd. owing a fiduciary obligation towards the “Company” in its capacity as an Operating Agency and notwithstanding Kotak Mahindra Bank Ltd. owing a fiduciary obligation, being appointed as a consultant, towards the’Company’; we find that there would be no breach of the said fiduciary obligation in law and additionally on facts, the former on account of the legal position as noted herein above and on facts, for the facts which we have noted in para 7 herein above i.e. that when Kotak Mahindra...