# In the matter of State Bank of India Vs. Babita Nayar, (IB) No. 696 (ND)/2021

> NCLT judgment dated 2022-01-07. Citation: TCN-2022-NCLT-04515. The State Bank of India filed an application under Section 95 of the Insolvency and Bankruptcy…

- **Court:** NCLT
- **Order date:** 7 Jan 2022
- **Citation:** TCN-2022-NCLT-04515
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/state-bank-of-india-vs-babita-nayar-c63de866

## Summary

### Background

The State Bank of India filed an application under Section 95 of the Insolvency and Bankruptcy Code (IBC) seeking initiation of insolvency proceedings against the personal guarantor, Mrs. Babita Nayar. The applicant's counsel stated that they had complied with the order dated 09.12.2021 and filed proof of service of the petition on the personal guarantor.

## Facts

The State Bank of India filed an application under Section 95 of the IBC seeking initiation of insolvency proceedings against Mrs. Babita Nayar, who is a personal guarantor. The applicant's counsel confirmed compliance with a previous order dated 09.12.2021 and provided proof of service of the petition to the personal guarantor. The applicant proposed Mr. Ashish Agarwal as the Resolution Professional. The application was filed by the State Bank of India through its authorized counsel. The court admitted the application and appointed Mr. Ashish Agarwal as the Resolution Professional, directing him to conduct an inquiry within 10 days and recommend approval or rejection of the application. The interim moratorium under Section 96 of the IBC commenced from the date of the

…

## Issues and analysis

### Issue 1: Whether the application filed under Section 95 of the IBC for initiating insolvency proceedings …

**Ratio:** Section 95 of the IBC allows for the initiation of insolvency proceedings against a

…

**Reasoning:** The court considered the submissions of the applicant's counsel, who stated that they had

…

**Interpretation:** Section 95 provides a mechanism for creditors to initiate insolvency

…

**Application:** The court admitted the application, indicating that the requirements under

…

## Parties

- **Judges:** BACHU VENKAT…; Narender Kumar…
- **Appellants:** State Bank of…
- **Respondents:** Babita…
- **Advocates:** Sanjay…; Gargi Bah…

## Timeline

- **2021-12-09 — Previous…**: Court issued a previous order, which the applicant's counsel stated they had complied…
- **2022-01-07 — Order Del…**: The court admitted the application, appointed Mr. Ashish Agarwal as the Resolution…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 95 — Application by creditor to initiate insolvency…](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-95)

---

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/nclt-chandigarh/state-bank-of-india-vs-babita-nayar-c63de866