IndusInd Bank Limited filed a petition under Section 7 of the Insolvency and Bankruptcy Code, 2016, seeking to initiate Corporate Insolvency Resolution Process (CIRP) against Siti Networks Limited, citing an unresolved financial debt of Rs. 1,48,82,90,236.22. The Corporate Debtor had availed credit facilities comprising two term loans. The Financial Creditor claimed default in payment obligations. The Corporate Debtor resisted the admission of the petition, primarily arguing that the loan agreement was insufficiently stamped, the petition was filed by an unauthorized person, and the default occurred during the COVID-19 period, thus barred by Section 10A of the Code.
IndusInd Bank Limited (Financial Creditor) filed a petition to initiate Corporate Insolvency Resolution Process (CIRP) against Siti Networks Limited (Corporate Debtor) under Section 7 of the Insolvency and Bankruptcy Code, 2016. The financial debt claimed was Rs. 1,48,82,90,236.22. The Corporate Debtor had availed two term loans: Term Loan 1 of INR 250,00,00,000 and Term Loan 2 of INR 150,00,00,000, with a sublimit bank guarantee of INR 95,00,00,000. The loans were sanctioned via letters dated 29 June 2018. A Hypothecation Agreement was executed on 24 August 2018. The Corporate Debtor was required to maintain a Debt Service Reserve Account (DSRA). The Corporate Debtor defaulted on DSRA obligations since September 2019. The Financial Creditor issued a notice of demand
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Sanction letters issued…
Hypothecation Agreement for Multi-Facility…
IndusInd Bank Limited filed a petition under Section 7 of the Insolvency and Bankruptcy Code, 2016, seeking to initiate Corporate Insolvency Resolution Process (CIRP) against Siti Networks Limited, citing an unresolved financial debt of Rs. 1,48,82,90,236.22. The Corporate Debtor had availed credit facilities comprising two term loans. The Financial Creditor claimed default in payment obligations. The Corporate Debtor resisted the admission of the petition, primarily arguing that the loan agreement was insufficiently stamped, the petition was filed by an unauthorized person, and the default occurred during the COVID-19 period, thus barred by Section 10A of the Code.
IndusInd Bank Limited (Financial Creditor) filed a petition to initiate Corporate Insolvency Resolution Process (CIRP) against Siti Networks Limited (Corporate Debtor) under Section 7 of the Insolvency and Bankruptcy Code, 2016. The financial debt claimed was Rs. 1,48,82,90,236.22. The Corporate Debtor had availed two term loans: Term Loan 1 of INR 250,00,00,000 and Term Loan 2 of INR 150,00,00,000, with a sublimit bank guarantee of INR 95,00,00,000. The loans were sanctioned via letters dated 29 June 2018. A Hypothecation Agreement was executed on 24 August 2018. The Corporate Debtor was required to maintain a Debt Service Reserve Account (DSRA). The Corporate Debtor defaulted on DSRA obligations since September 2019. The Financial Creditor issued a notice of demand
…Sanction letters issued…
Hypothecation Agreement for Multi-Facility…