Oriental Bank of Commerce filed an appeal against the dismissal of its application under Section 7 of the Insolvency and Bankruptcy Code, 2016 (IBC) by the Adjudicating Authority. The application was filed against Ruchi Global Limited, the Corporate Debtor. The dismissal was based on an Impugned Order dated February 14, 2019. The Appellant Bank had extended a Letter of Credit facility to the Corporate Debtor, which was non-fund based. The Adjudicating Authority dismissed the application because the Appellant Bank did not comply with the Inter-se Agreement dated January 27, 2012, which required giving notice to the lead Dena Bank before filing the application.
Oriental Bank of Commerce (Appellant) extended a Letter of Credit facility to Ruchi Global Limited (Corporate Debtor/Respondent). This facility was non-fund based, and the Corporate Debtor benefited from it. The Corporate Debtor had outstanding dues to the Appellant Bank. The Appellant Bank filed an application under Section 7 of the Insolvency and Bankruptcy Code, 2016 (IBC) against the Corporate Debtor, mentioning the amount in default. The Adjudicating Authority dismissed the application, observing that the Appellant Bank should have given notice to the lead Dena Bank as per the Inter-se Agreement dated January 27, 2012, between the consortium of banks. The Appellant Bank was part of a consortium of banks, including Dena Bank, Punjab National Bank, and Jammu &
…Sign in to view the parties.
Date of the Impugned Order by the Adjudicating…
Date of the Inter-se…
Oriental Bank of Commerce filed an appeal against the dismissal of its application under Section 7 of the Insolvency and Bankruptcy Code, 2016 (IBC) by the Adjudicating Authority. The application was filed against Ruchi Global Limited, the Corporate Debtor. The dismissal was based on an Impugned Order dated February 14, 2019. The Appellant Bank had extended a Letter of Credit facility to the Corporate Debtor, which was non-fund based. The Adjudicating Authority dismissed the application because the Appellant Bank did not comply with the Inter-se Agreement dated January 27, 2012, which required giving notice to the lead Dena Bank before filing the application.
Oriental Bank of Commerce (Appellant) extended a Letter of Credit facility to Ruchi Global Limited (Corporate Debtor/Respondent). This facility was non-fund based, and the Corporate Debtor benefited from it. The Corporate Debtor had outstanding dues to the Appellant Bank. The Appellant Bank filed an application under Section 7 of the Insolvency and Bankruptcy Code, 2016 (IBC) against the Corporate Debtor, mentioning the amount in default. The Adjudicating Authority dismissed the application, observing that the Appellant Bank should have given notice to the lead Dena Bank as per the Inter-se Agreement dated January 27, 2012, between the consortium of banks. The Appellant Bank was part of a consortium of banks, including Dena Bank, Punjab National Bank, and Jammu &
…Date of the Impugned Order by the Adjudicating…
Date of the Inter-se…