Rejection of the application u/s 7 of IBC due to Term Loan Agreement does not contain signature – Prokash Datta (Suspended Managing Director) Vs. Indian Bank (Erstwhile Allahabad Bank) & Anr. – NCLAT New Delhi
The Bank has Financial Debt which was claimed in the Application filed under Section 7 including Term Loan-I, Term Loan-II, Term Loan-III and Cash Credit Loan and total amount of debt was mentioned. The Appellant’s case is that his signature is not on the Term Loan-III Agreement, hence, he has filed the Application. Application under Section 7 of the Code clearly mentioned that as per Term Loan-III the amount was disbursed on various dates, details of which has been mentioned in the Application. There in no case that the Appellant did not receive any amount. However, he is harping on the fact that the Terms Loan III Agreement does not contain his signature. The Adjudicating Authority, after considering his Application, has rejected the same. NCLAT held that we, in the facts of the case, do not find any error in the decision of the Adjudicating Authority rejecting the Application.