Whether a notice issued under sections 13(2) and 13(4) of the SARFAESI Act, 2022 can be treated as an invocation of guarantee for the purpose of Section 95 of the IBC? – State Bank of India Vs. Amit Ranjan Mukherjee – NCLT Kolkata Bench
January 2, 2025
Hon’ble NCLT Kolkata Bench held that: (i) The criteria for examining the date of default for the purpose of limitation for the Corporate Debtor and Personal Guarantor are not the same. (ii) The date when guarantee is invoked by the Creditor is the date of commencement of period of Limitation for filing Application under Section 95 of IBC, 2016. (iii) The Date of Default will be the date on which the guarantee was invoked.