# In the matter of State Bank of India Vs. Savita Satish Gowda, CP (IB) No. 1062/2021

> NCLT judgment dated 2022-01-20. Citation: TCN-2022-NCLT-04403. The case involves an application filed by State Bank of India, through Resolution Professional…

- **Court:** NCLT
- **Order date:** 20 Jan 2022
- **Citation:** TCN-2022-NCLT-04403
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/state-bank-of-india-vs-savita-satish-gowda-cp-a49859ee

## Summary

### Background

The case involves an application filed by State Bank of India, through Resolution Professional Mr. Mahesh Sureka, under Section 95 of the Insolvency & Bankruptcy Code, 2016, read with Rule 7 of the IBC Rules 2019, against Ms. Savita Gowda, the Personal Guarantor of the Corporate Debtor, Sharon Bio-Medicine Ltd. The petitioner seeks to initiate the Insolvency Resolution Process against the Personal Guarantor. The Corporate Debtor was admitted into CIRP on 24.07.2018, and a Resolution Plan was approved on 28.02.2018, but it was not implemented. The total debt due is Rs. 231,03,18,820.11 as on 31.07.2021. The Respondent/Personal Guarantor filed I.A. 2733 of 2021 questioning the maintainability of the company petition.

## Facts

State Bank of India (SBI) approved a restructuring package for a borrower via a Master Restructure Agreement dated 2015-03-30 and a sanction letter of the same date. Ms. Savita Satish Gowda, the Respondent, is the Personal Guarantor and an erstwhile Promoter of Sharon Bio-Medicine Ltd. (Corporate Debtor). The Respondents executed a deed of guarantee dated 2015-03-30, providing a joint, several, irrevocable, absolute, unconditional guarantee for the repayment of amounts payable by the Borrower. The Corporate Debtor was admitted into CIRP on 2018-07-24, and a Resolution Plan was approved on 2018-02-28, but it was not implemented. The total debt due is Rs. 231,03,18,820.11 as of 2021-07-31, with the principal amount being Rs. 119,23,65,055.36. SBI invoked the personal

…

## Issues and analysis

### Issue 1: Whether the present petition filed for Initiation of insolvency of the Personal Guarantor is …

**Ratio:** Section 60(1)(2)(3) of the Insolvency and Bankruptcy Code, 2016, empowers the

…

**Reasoning:** The court reasoned that even after the approval of the Resolution Plan for the Corporate

…

**Interpretation:** Section 60(2) of the Code, as amended, clarifies that where a corporate

…

**Application:** In this case, even though the Resolution Plan for Sharon Bio-Medicine Ltd.

…

## Parties

- **Judges:** SUCHITRA KANUPARTH…; ANURADHA SANJAY…; +1 more
- **Appellants:** State Bank of…
- **Respondents:** Sharon Bio…; Savita Satish…

## Timeline

- **2015-03-30 — Master Restructure…**: State Bank of India approved restructuring package vide Master Restructure Agreement and…
- **2015-03-30 — Deed of Gua…**: Respondents executed a…

## 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-division-bench-court-i-chenn/state-bank-of-india-vs-savita-satish-gowda-cp-a49859ee