The law of guarantee is very clear that the liability of the Principal Borrower and the Guarantor is joint, several and co-extensive. The Financial Creditor is free to proceed against either of them or both of them as per its own choice – Dena Bank Vs. M/s Aryavrat Trading Pvt. Ltd. – NCLT Kolkata Bench
Since the Corporate Debtor in the petition has failed to make the payment in spite of notice dated 25th September, 2018 followed by notice dated 11th February,2019issuedtothe Principal Borrower and also to the Guarantors including the present Corporate Debtor, the Corporate Debtor does not have any plausible defence in the present matter.