Does Interim Moratorium under Section 96 of the IBC bar the insolvency applications against the Personal Guarantor? – YES Bank Ltd. Vs. Mr. Kunal Jiwarajka Personal Guarantor of JSK Marketing Ltd. – NCLT Mumbai Bench
Hon’ble NCLT Mumbai Bench held that:
(i) The scheme of Code does not contemplate manifold applications against the same Personal Guarantor by different lenders. Multiplicity of applications against the same Personal Guarantor is not contemplated under Chapter III.
(ii) If they have not filed any application during moratorium period, they have every right to file application and for computation of the period of limitation, period during which moratorium is in place is to be excluded.