# In the matter of Indian Bank vs. Sri Sharanjit Singh

> NCLT judgment dated 2024-02-23. Citation: TCN-2024-NCLT-02418. The case involves a petition filed by Indian Bank under Section 95(1) of the Insolvency and…

- **Court:** NCLT
- **Order date:** 23 Feb 2024
- **Citation:** TCN-2024-NCLT-02418
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/indian-bank-vs-sri-sharanjit-singh-677e7c12

## Summary

### Background

The case involves a petition filed by Indian Bank under Section 95(1) of the Insolvency and Bankruptcy Code, 2016, against Sri Sharanjit Singh, the personal guarantor to the Corporate Debtor, M/s Walson Merchants Private Limited. The petition seeks to initiate the Insolvency Resolution Process against the personal guarantor due to the Corporate Debtor's failure to repay a debt of Rs. 42,64,70,499.94. The Corporate Debtor had approached the applicant bank for various financial facilities, which were extended on 22.03.2010, including a Cash Credit Facility. The Deed of Guarantee was executed on 23.06.2010 by the Personal Guarantor.

## Facts

Indian Bank filed a petition under Section 95(1) of the Insolvency and Bankruptcy Code, 2016, against Sri Sharanjit Singh, the personal guarantor to M/s Walson Merchants Private Limited, seeking to initiate the Insolvency Resolution Process. The Corporate Debtor, M/s Walson Merchants Private Limited, had approached Indian Bank for financial facilities, which were extended on 22.03.2010, including a Cash Credit Facility. The Corporate Debtor failed to repay a debt of Rs. 42,64,70,499.94. The Deed of Guarantee was executed on 23.06.2010 by the Personal Guarantor, Sri Sharanjit Singh. The bank classified the account of the Corporate Debtor as a non-performing asset (NPA) on 27/06/2014. The Applicant Bank issued a statutory Demand Notice under Section 13(2) of SARFAESI

…

## Issues and analysis

### Issue 1: Whether the application filed by Indian Bank under Section 95(1) of the Insolvency and Bankruptcy …

**Ratio:** The ratio is based on the interpretation of Section 95 of the Insolvency and Bankruptcy

…

**Reasoning:** The court reasoned that the application is complete as required under Section 95 read

…

**Interpretation:** The interpretation involves understanding the procedural requirements for

…

**Application:** The ratio and reasoning are applied to the specific facts of the case to

…

## Parties

- **Judges:** Rohit K…; Balraj…; +1 more
- **Appellants:** Indian…
- **Respondents:** M/s Walson…; Sharanjit…

## Timeline

- **2010-03-22 — Credit Facilities…**: Indian Bank extended various credit facilities…
- **2010-06-23 — Deed of Guarantee…**: Sri Sharanjit Singh executed the Deed of…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 95(1) — 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-division-bench-court-i-chenn/indian-bank-vs-sri-sharanjit-singh-677e7c12