The State Bank of India (SBI) filed an appeal challenging the order dated 21.03.2023 passed by the National Company Law Tribunal (NCLT), Cuttack Bench, which rejected SBI's Section 7 application to initiate Corporate Insolvency Resolution Process (CIRP) against Abhijeet Ferrotech Ltd., the Corporate Debtor. The NCLT rejected the application, questioning whether the proceeding was barred due to an earlier order by DRT-II, Kolkata, in T.A. No.179 of 2020 dated 17.06.2022. The NCLT ruled against SBI, stating the matter was substantially the same as an appeal pending before the DRAT and declined to invoke its discretion.
The State Bank of Travancore sanctioned a loan of Rs.99 crores to Abhijeet Ferrotech Limited on 17.03.2012. The working capital limit of Rs.99 crores was renewed on 08.04.2013. The Corporate Debtor's accounts were declared Non-Performing Assets (NPA) on 31.03.2013. SBI and other lenders entered into a Master Restructuring Agreement on 28.09.2013. The State Bank of Travancore restructured credit facilities on 14.02.2014, sanctioning Rs.89,46,00,000/-. A Deed of Accession and Modification on Master Restructuring Agreement was executed on 26.03.2014. The State Bank of Travancore sanctioned an additional limit of Rs.36,74,00,000/- on 23.12.2015 and Rs.1,26,20,00,000/- on 28.12.2015. The loan account slipped into NPA category on 30.09.2016. SBI initiated SARFAESI Act
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State Bank of…
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The State Bank of India (SBI) filed an appeal challenging the order dated 21.03.2023 passed by the National Company Law Tribunal (NCLT), Cuttack Bench, which rejected SBI's Section 7 application to initiate Corporate Insolvency Resolution Process (CIRP) against Abhijeet Ferrotech Ltd., the Corporate Debtor. The NCLT rejected the application, questioning whether the proceeding was barred due to an earlier order by DRT-II, Kolkata, in T.A. No.179 of 2020 dated 17.06.2022. The NCLT ruled against SBI, stating the matter was substantially the same as an appeal pending before the DRAT and declined to invoke its discretion.
The State Bank of Travancore sanctioned a loan of Rs.99 crores to Abhijeet Ferrotech Limited on 17.03.2012. The working capital limit of Rs.99 crores was renewed on 08.04.2013. The Corporate Debtor's accounts were declared Non-Performing Assets (NPA) on 31.03.2013. SBI and other lenders entered into a Master Restructuring Agreement on 28.09.2013. The State Bank of Travancore restructured credit facilities on 14.02.2014, sanctioning Rs.89,46,00,000/-. A Deed of Accession and Modification on Master Restructuring Agreement was executed on 26.03.2014. The State Bank of Travancore sanctioned an additional limit of Rs.36,74,00,000/- on 23.12.2015 and Rs.1,26,20,00,000/- on 28.12.2015. The loan account slipped into NPA category on 30.09.2016. SBI initiated SARFAESI Act
…State Bank of…
Working capital limit…