Sanjay Jhunjhunwala & Ors Vs Piramal Finance Limited & Ors (Calcutta High Court)
Calcutta High Court held that present writ petition filed by personal guarantor is not maintainable since the proceeding u/s. 95 of the IBC is pending before Adjudicating Authority and petition is filed without taking appropriate steps before appropriate forum.
Facts- The petitioners are guarantors who have provided personal guarantees securing the Credit Facilities availed by the respondent no.3. The respondent no.1 is a non-banking financial company engaged in the businesses of lending monies to individuals, micro entrepreneurs and business across India. The respondent no.2 is the Security Trustee appointed by the respondent no.1 to hold security documents on behalf of the respondent no.1.
The grievances of the petitioners in the writ petition arises from the invocation of the jurisdiction of the Learned National Company Law Tribunal under Section 95 of the Insolvency and Bankruptcy Code, 2016 by the respondent no.2 despite the principal borrower having cleared the entire outstanding amounts due and payable along with penal interest.
Conclusion- Held that a proceeding under Section 95 of the IBC is pending before the Adjudicating Authority. The National Company Law Tribunal being the statutory forum under the Insolvency and Bankruptcy Code, 2016, is fully empowered to take all necessary measures within its jurisdiction. If the petitioners are aggrieved by any steps taken therein, the petitioners have an adequate remedy before the National Company Law Appellate Tribunal. The petitioners without taking appropriate steps before the appropriate forum, have filed the present writ petition which, in my view is not maintainable.
