Case Note & Summary
The National Company Law Appellate Tribunal (NCLAT) Chennai bench heard four connected appeals filed by personal guarantors—Ajay Agarwal, Ashok Agarwal, Ankit Agarwal, and Anitha Agarwal—against an order of the Adjudicating Authority (National Company Law Tribunal, Chennai) admitting a petition under Section 95 of the Insolvency and Bankruptcy Code, 2016 (IBC) filed by State Bank of India (SBI). The SBI had initiated corporate insolvency resolution process (CIRP) against the corporate debtor, and subsequently filed Section 95 applications against the personal guarantors. The Adjudicating Authority admitted the Section 95 application, appointing T.R. Ravichandran as Interim Resolution Professional (IRP). Aggrieved, the personal guarantors filed these appeals. During the hearing before NCLAT, the learned Senior Advocate for the appellants, Mr. P.S. Raman, submitted that the appellants wished to withdraw the appeals. The Tribunal noted the submission and allowed the withdrawal. Consequently, the appeals were dismissed as withdrawn. The Tribunal did not grant any liberty to file fresh appeals. The judgment was delivered by a bench comprising Justice Rakesh Kumar Jain (Member (Judicial)) and Mr. N. Venkataraman (Member (Technical)). The order was pronounced on 17.03.2025.
Headnote
A) Insolvency and Bankruptcy Code - Personal Guarantor - Withdrawal of Appeal - Section 95, IBC - The appellants, personal guarantors, sought to withdraw their appeals against the order admitting the Section 95 application filed by State Bank of India. The Tribunal allowed the withdrawal and dismissed the appeals as withdrawn, noting that no liberty was sought to file a fresh appeal. (Paras 1-13)
Issue of Consideration
Whether the appeals against the order admitting Section 95 application under IBC should be allowed or dismissed.
Final Decision
The appeals are dismissed as withdrawn. No order as to costs. All pending IAs are closed.
Law Points
- Withdrawal of appeal
- dismissal as withdrawn
- no liberty to file fresh appeal
- Section 95 IBC
- personal guarantor
- CIRP initiation
