The case involves an application filed under Section 94(1) of the Insolvency and Bankruptcy Code, 2016 (IBC) by Rakesh Rameshkumar Shah, a personal guarantor to Devkrut Engineers Pvt. Ltd. The Financial Creditor, Tamilnad Mercantile Bank Ltd., had sanctioned a working capital loan to Devkrut Engineers Pvt. Ltd., which defaulted on repayment. The IRP recommended acceptance of the petition, citing the corporate debtor's default and compliance with Sections 94 and 99 of the IBC. The Financial Creditor initiated recovery proceedings under the SARFAESI Act, including taking symbolic possession of mortgaged property. The debtor filed the application seeking a moratorium under Section 96 of the IBC, which the Tribunal found to be an attempt to thwart recovery proceedings.

The case involves an application filed under Section 94(1) of the Insolvency and Bankruptcy Code, 2016 (IBC) by Rakesh Rameshkumar Shah, a personal guarantor to Devkrut Engineers Pvt. Ltd. The Financial Creditor, Tamilnad Mercantile Bank Ltd., had sanctioned a working capital loan to Devkrut Engineers Pvt. Ltd., which defaulted on repayment. The IRP recommended acceptance of the petition, citing the corporate debtor's default and compliance with Sections 94 and 99 of the IBC. The Financial Creditor initiated recovery proceedings under the SARFAESI Act, including taking symbolic possession of mortgaged property. The debtor filed the application seeking a moratorium under Section 96 of the IBC, which the Tribunal found to be an attempt to thwart recovery proceedings.