Central Bank of India filed a petition under Section 7 of the Insolvency and Bankruptcy Code, 2016, seeking to initiate the Corporate Insolvency Resolution Process (CIRP) against Loyal Motors Private Limited. The bank claimed that the corporate debtor defaulted on payments amounting to Rs. 11,70,34,831/- including interest. The corporate debtor raised objections, including discrepancies in the claimed amount, the pendency of SARFAESI proceedings, and the validity of the power of attorney submitted by the petitioner.
Central Bank of India (the Petitioner) sought to initiate Corporate Insolvency Resolution Process (CIRP) against Loyal Motors Private Limited (the Corporate Debtor) under Section 7 of the Insolvency and Bankruptcy Code, 2016 (IBC). The basis for the petition was the Corporate Debtor's default in making payments amounting to Rs. 11,70,34,831/- including interest. The default was related to credit facilities enhanced to the Corporate Debtor from Rs. 1,40,00,000/- to Rs. 3,95,00,000/-, comprising Cash Credit and Overdraft facilities. The Corporate Debtor had created an equitable mortgage over its properties, registered with the Registrar of Companies on 08.03.2008. The Petitioner issued a demand notice on 21.03.2009 under Section 13(2) of the SARFAESI Act, classifying the
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The Petitioner enclosed a sanction letter…
The Corporate Debtor created an equitable…
Central Bank of India filed a petition under Section 7 of the Insolvency and Bankruptcy Code, 2016, seeking to initiate the Corporate Insolvency Resolution Process (CIRP) against Loyal Motors Private Limited. The bank claimed that the corporate debtor defaulted on payments amounting to Rs. 11,70,34,831/- including interest. The corporate debtor raised objections, including discrepancies in the claimed amount, the pendency of SARFAESI proceedings, and the validity of the power of attorney submitted by the petitioner.
Central Bank of India (the Petitioner) sought to initiate Corporate Insolvency Resolution Process (CIRP) against Loyal Motors Private Limited (the Corporate Debtor) under Section 7 of the Insolvency and Bankruptcy Code, 2016 (IBC). The basis for the petition was the Corporate Debtor's default in making payments amounting to Rs. 11,70,34,831/- including interest. The default was related to credit facilities enhanced to the Corporate Debtor from Rs. 1,40,00,000/- to Rs. 3,95,00,000/-, comprising Cash Credit and Overdraft facilities. The Corporate Debtor had created an equitable mortgage over its properties, registered with the Registrar of Companies on 08.03.2008. The Petitioner issued a demand notice on 21.03.2009 under Section 13(2) of the SARFAESI Act, classifying the
…The Petitioner enclosed a sanction letter…
The Corporate Debtor created an equitable…