The case involves an application filed under Section 94(1) of the Insolvency and Bankruptcy Code (IBC), 2016, read with Rule 6 of the Insolvency and Bankruptcy Rules, 2019, seeking initiation of an insolvency resolution process for personal guarantors to corporate debtors. The applicant, Kondala Chenchaiah, is the director and key person of M/s. Kommu Rakesh Builders Private Limited, the corporate debtor. The applicant provided a guarantee of Rs. 9,00,00,000/- for the corporate debtor's debts. The corporate debtor defaulted on payments, leading to its accounts becoming Non-Performing Assets (NPAs) in the books of the financial creditor, City Union Bank, as of 2020-11-30. The bank initiated actions under the SARFAESI Act and issued notices to the applicant as the
…Kondala Chenchaiah, the applicant, is the director and key person of M/s. Kommu Rakesh Builders Private Limited, the corporate debtor. Chenchaiah provided a guarantee of Rs. 9,00,00,000/- for the corporate debtor's debts. The corporate debtor defaulted on payments, leading to its accounts becoming Non-Performing Assets (NPAs) in the books of the financial creditor, City Union Bank, as of 2020-11-30. The bank initiated actions under the SARFAESI Act and issued notices to Chenchaiah as the guarantor. The financial creditor tried to sell the assets of the applicant which were mortgaged against the loans availed by the corporate debtor. The debts for which the bankruptcy process application was filed did not include liabilities such as fines, damages for negligence,
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The accounts of the Corporate Debtor became…
The tribunal passed an…
The case involves an application filed under Section 94(1) of the Insolvency and Bankruptcy Code (IBC), 2016, read with Rule 6 of the Insolvency and Bankruptcy Rules, 2019, seeking initiation of an insolvency resolution process for personal guarantors to corporate debtors. The applicant, Kondala Chenchaiah, is the director and key person of M/s. Kommu Rakesh Builders Private Limited, the corporate debtor. The applicant provided a guarantee of Rs. 9,00,00,000/- for the corporate debtor's debts. The corporate debtor defaulted on payments, leading to its accounts becoming Non-Performing Assets (NPAs) in the books of the financial creditor, City Union Bank, as of 2020-11-30. The bank initiated actions under the SARFAESI Act and issued notices to the applicant as the
…Kondala Chenchaiah, the applicant, is the director and key person of M/s. Kommu Rakesh Builders Private Limited, the corporate debtor. Chenchaiah provided a guarantee of Rs. 9,00,00,000/- for the corporate debtor's debts. The corporate debtor defaulted on payments, leading to its accounts becoming Non-Performing Assets (NPAs) in the books of the financial creditor, City Union Bank, as of 2020-11-30. The bank initiated actions under the SARFAESI Act and issued notices to Chenchaiah as the guarantor. The financial creditor tried to sell the assets of the applicant which were mortgaged against the loans availed by the corporate debtor. The debts for which the bankruptcy process application was filed did not include liabilities such as fines, damages for negligence,
…The accounts of the Corporate Debtor became…
The tribunal passed an…