IN THE NATIONAL COMPANY LAW TRIBUNAL

MUMBAI BENCH COURT III

Under Section 95 of the Insolvency and

Bankruptcy Code, 2016

Bank of Baroda

Having registered address at:

Stressed Assets Management Branch, Dena Building, 1st Floor, 17-B, Homji

Street, Horniman Circle, Fort,

Mumbai 400023

… Financial Creditor/ Petitioner

Vs.

Mr. Pawan V Kikavat

Personal Guarantor of M/s Mahavir Roads

and Infrastructure Pvt Ltd.

Having address at:

Plot 168, Neelkanth Jyot, 90 Feet Road,

Ghatkopar E, Mumbai - 400077

… Personal Guarantor/ Respondent

Order pronounced on: 05.12.2025

Coram:

SMT. LAKSHMI GURUNG, MEMBER (JUDICIAL)

SHRI. HARIHARAN NEELAKANTA IYER, MEMBER (TECHNICAL)

Appearances:

For the Petitioner: Adv. Kairav Trivedi (VC)

For the Respondent: Adv. Khushi Nandu (VC) a/w Adv. Mahima Shah

Adv. Rishabh Dhanuka i/b Agarwal and Dhanuka Legal

Per: Smt. Lakshmi Gurung, Member (Judicial

ORDER

1. The Company Petition No. 140 of 2022 was filed by Bank of Baroda (‘Financial Creditor’) under section 95 of the Insolvency and Bankruptcy Code, 2016 (hereinafter referred as ‘Code’) seeking to initiate Insolvency Resolution Process against Mr. Pawan V Kikavat (‘Personal Guarantor’ ) being the Personal Guarantor to M/s Mahavir Roads and Infrastructure Private Limited (‘Corporate Debtor’) having registered office at 601/602, Destination SRA CHS Ltd. CTS No.5, 6^th Floor, near Shopper Stop, Chembur (W), Mumbai – 400089.

2. Dena Bank (now Bank of Baroda), had sanctioned working capital loan to the Corporate Debtor vide Sanction Letter dated 22.02.2012, for Rs

30 Crore at rate of interest comprising base rate + 3.55%.

3. To secure the above loan, the Personal Guarantor had given his personal guarantee vide Letter of Guarantee dated 26.04.2012 in favour of the financial creditor to the extent of Rs. 30 Crore. The said Deed of guarantee dated 26.04.2012 is annexed to the petition as Annexure II (2).

4. As the corporate debtor after availing the loan did not adhere to the terms of the sanction letter, Bank of India initiated steps against the Corporate Debtor by filing an application under Section 7 of the Insolvency and Bankruptcy Code, 2016 in CP (IB) No. 2300/NCLT/ MB/ 2018, in which the corporate debtor was admitted to corporate insolvency resolution process (CIRP) vide order dated 21.02.2019. The said order dated 21.02.2019 is annexed to the Petition as Annexure II (3).

5. It is submitted that the Financial Creditor issued Demand Notice, in Form B dated 06.11.2020 to the Personal Guarantor under Rule 7(1) of the Insolvency and Bankruptcy (Application to Adjudicating Authority for Insolvency Resolution Process of Personal Guarantors to Corporate Debtors) Rule 2019, for payment of unpaid outstanding debt in default of Rs. 66,35,16,757.11 as on 30.09.2020 with further unapplied interest. The said demand notice dated 06.11.2020 was delivered to the Personal Guarantor on 09.11.2020 on second attempt. The acknowledgement of receipt of registered AD is annexed to the Petition as Annexure II (10).

6. Thereafter the present petition was filed on 01.01.2022 by the Financial Creditor under section 95 of the Code. As per Part III of the Petition the amount of default is Rs. 66,35,16,757.11 as on 30.09.2020 and the date of default is 30.01.2016.

7. As this petition was filed prior to the judgment of Dilip B. Jiwrajkar Vs.

Union of India and others, notice was issued by this Tribunal on 02.03.2022 before appointment of the Resolution Professional (RP). RP was appointed vide order dated 29.06.2022, who submitted his Report dated 06.07.2022.

8. The personal guarantor filed reply dated 27.04.2024 to RP’s Report. We are at the stage of section 100 for adjudication of the admissibility of the petition.

Report of Resolution Professional

9. The RP has filed his Report dated 06.07.2022 under section 99 of the Code extract of which is reproduced below:

2. The Applicant Bank - Bank of Baroda (Financial Creditor) accorded Sanction reference no. DB/ CBB/ MAHAVIR/ 11-12 to the proposal of Rs. 30.00 Crores in favor of M/s. Maha