IN TH

(Under Section 95 of IBC, 2016 read with Rule 7(2) of the Insolvency and Bankruptcy (Application to Adjudicating Authority for Insolvency Resolution Process for Personal Guarantors to Corporate

Debtors) Rules, 2019)

In the matter of:

Central Bank of India Vs Mr. Vinu Sagar

MEMO OF PARTIES:

Central Bank of India

having its Regd. Office at

Chander Mukhi, Nariman Point,

Mumbai 400 021

& Branch at

Asset Recovery Branch, 346, Standard Building,

3rd Floor, D. N. Road, Fort,

Mumbai - 400023

…Petitioner/Financial Creditor

-Vs-

Mr. Vinu Sagar

35-36, Patel Heights,

Plot No. 15, 16, 17, Sector-7,

Ghansoli, Navi Mumbai.

…Respondent/Personal Guarantor

Order delivered on: 01.07.2025.

Coram:

Smt. Madhu Sinha Shri. Vinay Goel Hon’ble Member (Technical) Hon’ble Member (Judicial)

Appearances:

For the Petitioner : Mr. P. Prashanth, Adv;

For Respondent : Mr. Harikumar. G. Nair, Adv.

O R D E R

Per Coram

1. This petition has been filed by Petitioner/ Financial Creditor, Central Bank of India, under Section 95(1) of the Insolvency and Bankruptcy Code, 2016 the (Application to Adjudicating Authority for Insolvency Resolution Process (“ Code”) read with rule 7(2) of the Insolvency and Bankruptcy initiation of the insolvency resolution process of Mr. Vinu Sagar, Personal for Personal Guarantors to Corporate Debtors) Rules, 2019 (“Rules”) for Guarantor of the Corporate Debtor M/s. Jupiter Leys Private Limited (hereinafter referred to as "Corporate Debtor ), for default of a debt amounting to Rs. 72,03,68,700.

”

2. The petitioner stated that the Corporate Debtor, M/s. Jupiter Leys Private Limited was sanctioned various credit facilities on 26.04.2012. Pursuant thereto, a Loan Agreement was executed on 18.06.2012. The credit facilities were extended for the setting up of their new factory unit at Mahad, Maharashtra.

3. The Petitioner stated that the hypothecation agreement dated 18.06.2012 and 23.09.2014 was executed respectively against the sanctioned credit facility.

4. The Petitioner stated that to secure the said facility, Mr. Vinu Sagar and Mr.

Vijayan Thoppil Vidyasagar executed personal guarantees in favour of the Bank, thereby assuring repayment of the credit facility in the event of default by the Corporate Debtor.

5. It is stated that Pursuant to the defaults committed by the Borrowers, including the Respondent, the Petitioner initiated recovery proceedings against them under the Recovery of Debts and Bankruptcy Act, 1993 and the SARFAESI Act, 2002, wherein one of the properties of the Corporate Debtor was sold through an E-Auction conducted on 23.12.2019, and recoveries have been effected thereafter."

6. It is stated that this Tribunal has admitted the Corporate Insolvency Process against the Corporate Debtor vide order dated 22.12.2023 in CP (IBC)/ 21/KOB/2023 filed by the IDBI Bank Limited under Section 7 of the Insolvency and Bankruptcy Code, 2O16.

7. The Petitioner served a demand notice on the guarantors in Form B as required under section 95(4)(b) of the IBC,2016, read with Rule 7(1) of the Insolvency and Bankruptcy (Application to Adjudicating Authority for Insolvency Resolution Process of Personal Guarantors to Corporate Debtors) Rules, 2019 on 30.03.2024.

8. The Petitioner served a copy of the petition to the personal guarantors as well as to the Corporate Debtor.

9. Despite receiving all the notices, the Corporate Debtor and the Personal Guarantors have failed to repay the amount. Therefore, the Financial Creditor initiated the present proceedings under Section 95 of the Insolvency and Bankruptcy Code, 2016, before this Tribunal.

10. The amount of default is more than the minimum threshold of one Crore Rupees. The date of default stated in Part III of the petition is 28.12.2014, the date on which the account was classified as NPA.

11. Record of default of the Corporate Debtor has been duly filed with NESL (information utility), evidencing default on the part of the corporate debtor in repayment as per the schedule, and the NESL records the date of default as 28.12.201