The appeal arises from an order dated 27th February 2020 passed by the Adjudicating Authority/National Company Law Tribunal, Hyderabad Bench, which rejected the application filed by the Appellant, State Bank of India, under Section 7 of the Insolvency and Bankruptcy Code (I&B Code). The Adjudicating Authority rejected the application primarily on the ground that it was barred by limitation, considering the date of declaring the NPA as the date of default.
The State Bank of India (Appellant) granted credit facilities to Vibha Agro Tech Limited (Respondent) effective from 26th March 2011. The Respondent defaulted on loan repayments. A CDR package was approved, and a Master Restructuring Agreement (MRA) was dated 26th September 2013. The Respondent submitted a Revival Proposal on 15th July 2014, which was rejected. The Respondent's account exited the CDR package on 31st January 2015 due to defaults. The Appellant issued a notice under Section 13(2) of the SARFAESI Act on 20th May 2015. The Respondent challenged this action by filing S.A. No.552 of 2015 before the DRT. The Appellant also filed O.A. No.417 of 2016 before the DRT, Hyderabad. The MD of the Respondent participated in a Joint Lenders Meeting on 22nd September
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State Bank of India…
A Master Restr…
The appeal arises from an order dated 27th February 2020 passed by the Adjudicating Authority/National Company Law Tribunal, Hyderabad Bench, which rejected the application filed by the Appellant, State Bank of India, under Section 7 of the Insolvency and Bankruptcy Code (I&B Code). The Adjudicating Authority rejected the application primarily on the ground that it was barred by limitation, considering the date of declaring the NPA as the date of default.
The State Bank of India (Appellant) granted credit facilities to Vibha Agro Tech Limited (Respondent) effective from 26th March 2011. The Respondent defaulted on loan repayments. A CDR package was approved, and a Master Restructuring Agreement (MRA) was dated 26th September 2013. The Respondent submitted a Revival Proposal on 15th July 2014, which was rejected. The Respondent's account exited the CDR package on 31st January 2015 due to defaults. The Appellant issued a notice under Section 13(2) of the SARFAESI Act on 20th May 2015. The Respondent challenged this action by filing S.A. No.552 of 2015 before the DRT. The Appellant also filed O.A. No.417 of 2016 before the DRT, Hyderabad. The MD of the Respondent participated in a Joint Lenders Meeting on 22nd September
…State Bank of India…
A Master Restr…