Canara Bank, as a Financial Creditor, filed a Section 7 IBC application against R.S. Builders Private Limited, acting as a Corporate Guarantor for M/s Frost International Ltd. (Principal Borrower). The Principal Borrower's account was declared NPA on 17.07.2018. Canara Bank issued a recall notice on 01.09.2018, which the Tribunal later identified as the first invocation of the guarantee. A subsequent invocation notice was issued on 20.01.2025. The Corporate Debtor contested the petition, arguing it was time-barred, asserting that the 01.09.2018 notice was the actual invocation and that any subsequent acknowledgments by the Principal Borrower's Resolution Professional did not extend limitation against the guarantor.

Canara Bank, as a Financial Creditor, filed a Section 7 IBC application against R.S. Builders Private Limited, acting as a Corporate Guarantor for M/s Frost International Ltd. (Principal Borrower). The Principal Borrower's account was declared NPA on 17.07.2018. Canara Bank issued a recall notice on 01.09.2018, which the Tribunal later identified as the first invocation of the guarantee. A subsequent invocation notice was issued on 20.01.2025. The Corporate Debtor contested the petition, arguing it was time-barred, asserting that the 01.09.2018 notice was the actual invocation and that any subsequent acknowledgments by the Principal Borrower's Resolution Professional did not extend limitation against the guarantor.