YES Bank Limited filed an Interlocutory Application (I.A. No. 461 of 2022) challenging the Resolution Professional's (RP) rejection of their claim. The claim, dated 2021-10-11, was for ₹420,16,000,000 due and payable on 2021-10-07. YES Bank was not included in the Committee of Creditors (CoC). The RP opposed the application, arguing that the claim was based on an uninvoked bank guarantee and the principal borrower's account was a standard account. The RP sought clarification from YES Bank regarding whether the corporate guarantee dated 2017-10-07 given by the Corporate Debtor was invoked before the CIRP commencement date and whether Vijay Suraksha Realty LLP, the principal borrower, had defaulted in repayment of its loan. YES Bank responded that Vijay Suraksha Realty
…YES Bank Limited filed a claim for ₹420,16,000,000 based on a corporate guarantee provided by Vijay Group Realty LLP. The Resolution Professional (RP) rejected the claim because the corporate guarantee had not been invoked. The RP sought clarification from YES Bank regarding the invocation of the guarantee and default by the principal borrower, Vijay Suraksha Realty LLP. YES Bank confirmed that the guarantee was not invoked and the borrower had not defaulted. The RP relied on a NCLAT judgment stating that an uninvoked corporate guarantee cannot be considered a claim under the Insolvency and Bankruptcy Code, 2016. YES Bank argued that the maturity of claim, default, or invocation of guarantee has no nexus with filing of claim pursuant to public announcement. The court
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YES Bank Limited filed an Interlocutory Application (I.A. No. 461 of 2022) challenging the Resolution Professional's (RP) rejection of their claim. The claim, dated 2021-10-11, was for ₹420,16,000,000 due and payable on 2021-10-07. YES Bank was not included in the Committee of Creditors (CoC). The RP opposed the application, arguing that the claim was based on an uninvoked bank guarantee and the principal borrower's account was a standard account. The RP sought clarification from YES Bank regarding whether the corporate guarantee dated 2017-10-07 given by the Corporate Debtor was invoked before the CIRP commencement date and whether Vijay Suraksha Realty LLP, the principal borrower, had defaulted in repayment of its loan. YES Bank responded that Vijay Suraksha Realty
…YES Bank Limited filed a claim for ₹420,16,000,000 based on a corporate guarantee provided by Vijay Group Realty LLP. The Resolution Professional (RP) rejected the claim because the corporate guarantee had not been invoked. The RP sought clarification from YES Bank regarding the invocation of the guarantee and default by the principal borrower, Vijay Suraksha Realty LLP. YES Bank confirmed that the guarantee was not invoked and the borrower had not defaulted. The RP relied on a NCLAT judgment stating that an uninvoked corporate guarantee cannot be considered a claim under the Insolvency and Bankruptcy Code, 2016. YES Bank argued that the maturity of claim, default, or invocation of guarantee has no nexus with filing of claim pursuant to public announcement. The court
…Date of the corporate…
Date on which the…