# In the matter of Sharad Gupta Vs. Tajas Jatin Parikh, IRP CA(AT)(Insolvency) No. 207-2019

> NCLAT judgment dated 2019-03-01. Citation: TCN-2019-NCLAT-00746. The Central Bank of India filed an application under Section 7 of the Insolvency and…

- **Court:** NCLAT
- **Order date:** 1 Mar 2019
- **Citation:** TCN-2019-NCLAT-00746
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/sharad-gupta-vs-tajas-jatin-parikh-irp-ca-12c14deb

## Summary

### Background

The Central Bank of India filed an application under Section 7 of the Insolvency and Bankruptcy Code, 2016, seeking to initiate a corporate insolvency resolution process against Loyal Motors Private Limited. The Adjudicating Authority (National Company Law Tribunal), Mumbai Bench, admitted the application. Sharad Gupta, a shareholder of Loyal Motors Private Limited, appealed the order.

## Facts

The Central Bank of India initiated a corporate insolvency resolution process against Loyal Motors Private Limited by filing an application under Section 7 of the Insolvency and Bankruptcy Code, 2016. The Adjudicating Authority (National Company Law Tribunal), Mumbai Bench, admitted the application. Sharad Gupta, a shareholder of Loyal Motors Private Limited, appealed the order, arguing that the application was not signed by an authorized person. The appellant claimed the power of attorney was given in 2003. The court found that the application in Form I was signed by the Senior Manager of Central Bank of India, who was empowered to grant loans and authorized to sign the application. Therefore, the court dismissed the appeal.

## Issues and analysis

### Issue 1: Whether the application under Section 7 of the Insolvency and Bankruptcy Code, 2016 was signed by …

**Ratio:** An application under Section 7 of the Insolvency and Bankruptcy Code, 2016 must be signed

…

**Reasoning:** The court examined the record and found that the application in Form I was signed by the

…

**Interpretation:** The court interpreted the requirement of an authorized signatory for an

…

**Application:** The court applied the ratio to the facts and found that the Senior Manager of

…

## Parties

- **Judges:** S.J. Mukhop…; Bansi Lal…
- **Appellants:** Sharad…
- **Respondents:** Loyal Motors…; Tajas Jatin…

## Timeline

- **2019-01-28 — Impugned…**: The Adjudicating Authority (National Company Law Tribunal), Mumbai Bench, passed the…
- **2019-03-01 — Order Da…**: The court dismissed the…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 7 — Initiation of corporate insolvency resolution…](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-7)

---

This is a preview. The full structured summary, issues, precedents and source judgment are available on CaseEase - Legal Intelligence Simplified: https://caseease.in/cases/ibc/nclat-new-delhi/sharad-gupta-vs-tajas-jatin-parikh-irp-ca-12c14deb