Vardhaman Bank filed an application under Section 7 of the Insolvency and Bankruptcy Code, 2016 (IBC) to initiate Corporate Insolvency Resolution Process (CIRP) against Karvy Stock Broking Limited, citing default on commercial paper subscribed by the Applicant.
Vardhaman Bank filed a petition under Section 7 of the IBC against Karvy Stock Broking Limited for default on commercial papers.
Karvy Stock Broking Limited argued that it is a Financial Service Provider and thus not subject to IBC.
The commercial papers purchased by Vardhaman Bank were worth ₹5 Crores and were to be redeemed on 10.12.2019.
Karvy Stock Broking Limited defaulted on the redemption amount on 10.12.2019.
Vardhaman Bank extended an OD facility of ₹47.50 Crores against Karvy Stock Broking Limited's deposits of ₹50 Crores.
Karvy Stock Broking Limited admitted its liability vide email dated 14.04.2020, citing the Covid-19 pandemic.
SEBI cancelled Karvy Stock Broking Limited's Certificate of Registration on 31.05.2023.
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Commercial Paper…
The Respondent admitted its liability vide…
Vardhaman Bank filed an application under Section 7 of the Insolvency and Bankruptcy Code, 2016 (IBC) to initiate Corporate Insolvency Resolution Process (CIRP) against Karvy Stock Broking Limited, citing default on commercial paper subscribed by the Applicant.
Vardhaman Bank filed a petition under Section 7 of the IBC against Karvy Stock Broking Limited for default on commercial papers.
Karvy Stock Broking Limited argued that it is a Financial Service Provider and thus not subject to IBC.
The commercial papers purchased by Vardhaman Bank were worth ₹5 Crores and were to be redeemed on 10.12.2019.
Karvy Stock Broking Limited defaulted on the redemption amount on 10.12.2019.
Vardhaman Bank extended an OD facility of ₹47.50 Crores against Karvy Stock Broking Limited's deposits of ₹50 Crores.
Karvy Stock Broking Limited admitted its liability vide email dated 14.04.2020, citing the Covid-19 pandemic.
SEBI cancelled Karvy Stock Broking Limited's Certificate of Registration on 31.05.2023.
…Commercial Paper…
The Respondent admitted its liability vide…