This case involves an application filed by ASREC (India) Limited, a financial creditor, under Section 7 of the Insolvency and Bankruptcy Code, 2016, against Shivaji Cane Processors Limited, the corporate debtor. The financial creditor claimed a default of Rs. 22,92,01,986/- including interest, with the date of default stated as 31.01.2019. The corporate debtor had initially obtained a term loan from Mahindra & Mahindra Financial Services Limited, which was later taken over by Dombivali Nagari Sahakari Bank Limited (DNSB). DNSB, in turn, assigned the loan to ASREC (India) Limited. The corporate debtor experienced financial difficulties, including drought conditions and issues with CIBIL reporting, leading to its inability to repay the loan.
Shivaji Cane Processors Limited (Corporate Debtor) obtained a term loan from Mahindra & Mahindra Financial Services Limited for expansion of its jaggery and khandsari unit. Dombivali Nagari Sahakari Bank Limited (DNSB) later took over this loan. DNSB sanctioned a term loan facility of Rs. 27,37,90,000/- on 14.05.2015. The Corporate Debtor executed a Composite Deed of Hypothecation on 12.06.2015 for a term loan of Rs. 15,00,00,000/-. DNSB assigned the loan to ASREC (India) Limited (Financial Creditor) on 05.11.2019. The Corporate Debtor defaulted on loan payments, leading to the account being declared NPA on 31.01.2019. DNSB issued a demand notice on 16.08.2019 for outstanding dues of Rs. 34,24,12,695/-. The Corporate Debtor admitted to being unable to make payments
…Sign in to view the parties.
Corporate Debtor submitted loan application…
Consortium of bankers including DNSB…
This case involves an application filed by ASREC (India) Limited, a financial creditor, under Section 7 of the Insolvency and Bankruptcy Code, 2016, against Shivaji Cane Processors Limited, the corporate debtor. The financial creditor claimed a default of Rs. 22,92,01,986/- including interest, with the date of default stated as 31.01.2019. The corporate debtor had initially obtained a term loan from Mahindra & Mahindra Financial Services Limited, which was later taken over by Dombivali Nagari Sahakari Bank Limited (DNSB). DNSB, in turn, assigned the loan to ASREC (India) Limited. The corporate debtor experienced financial difficulties, including drought conditions and issues with CIBIL reporting, leading to its inability to repay the loan.
Shivaji Cane Processors Limited (Corporate Debtor) obtained a term loan from Mahindra & Mahindra Financial Services Limited for expansion of its jaggery and khandsari unit. Dombivali Nagari Sahakari Bank Limited (DNSB) later took over this loan. DNSB sanctioned a term loan facility of Rs. 27,37,90,000/- on 14.05.2015. The Corporate Debtor executed a Composite Deed of Hypothecation on 12.06.2015 for a term loan of Rs. 15,00,00,000/-. DNSB assigned the loan to ASREC (India) Limited (Financial Creditor) on 05.11.2019. The Corporate Debtor defaulted on loan payments, leading to the account being declared NPA on 31.01.2019. DNSB issued a demand notice on 16.08.2019 for outstanding dues of Rs. 34,24,12,695/-. The Corporate Debtor admitted to being unable to make payments
…Corporate Debtor submitted loan application…
Consortium of bankers including DNSB…