# IL & FS Financial Services Limited vs. Sarvatra Realtors Private Limited

> NCLT judgment dated 12 Nov 2025. Citation: TCN-2025-NCLT-01657. The petition was filed under Section 7 of the Insolvency and Bankruptcy Code, 2016 by IL&FS…

- **Court:** NCLT
- **Order date:** 12 Nov 2025
- **Citation:** TCN-2025-NCLT-01657
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-kolkata/il-fs-financial-services-limited-vs-sarvatra-realtors-private-limited-adf8d16c

## Summary

### Background

The petition was filed under Section 7 of the Insolvency and Bankruptcy Code, 2016 by IL&FS Financial Services Limited ('Financial Creditor/Applicant') seeking initiation of the Corporate Insolvency Resolution Process (‘CIRP') against M/s Sarvatra Realtors Private Limited ('Corporate Debtor/Respondent'). The Corporate Debtor is a Corporate Guarantor to the Principal Borrower i.e., M/s Ansal Properties and Infrastructure Limited. A petition bearing C.P. (IB) No. 558(ND)/2024 was filed by IL&FS Financial Services Private Limited against M/s Ansal Properties and Infrastructure Limited (the Principal Borrower) for initiation of CIRP and vide order dated 25.02.2025, this Adjudicating Authority has initiated CIRP against the Principal Borrower.

## Facts

IL&FS Financial Services Limited filed a petition under Section 7 of the Insolvency and Bankruptcy Code, 2016.

The petition seeks initiation of CIRP against Sarvatra Realtors Private Limited.

Sarvatra Realtors Private Limited is a corporate guarantor to Ansal Properties and Infrastructure Limited.

Ansal Properties and Infrastructure Limited defaulted on a loan facility of Rs.100,00,00,000/- granted by IL&FS Financial Services Limited.

IL&FS Financial Services Limited issued a notice dated 17.10.2017 to Ansal Properties and Infrastructure Limited to rectify breaches.

Ansal Properties and Infrastructure Limited attempted to evade liability by citing reasons like the introduction of RERA and GST.

…

## Issues and analysis

### Issue 1: Maintainability of CIRP …

**Ratio:** Simultaneous proceedings can be initiated against the principal borrower and corporate

…

**Reasoning:** The obligation of the guarantor is co-extensive and coterminous with the principal

…

**Interpretation:** The initiation of CIRP against the Principal Borrower does not bar the

…

**Application:** The Adjudicating Authority held that the CIRP against the Corporate Guarantor,

…

## Parties

- **Judges:** MANNI SANKARIAH…; ATUL CHAT…
- **Appellants:** IL & FS Financial…
- **Respondents:** Sarvatra Realtors…
- **Other parties:** Insolv…; Corporate…; +4 more
- **Advocates:** Gopal…; Satendra Ku…; +1 more

## Timeline

- **2025-11-12 — Order Del…**: The order for admitting the…

---

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-kolkata/il-fs-financial-services-limited-vs-sarvatra-realtors-private-limited-adf8d16c