ORDER

Present: Ms. K. Varshini, Ld. Counsel for the Petitioner.

Shri. Bharadwajramasubramanian, Ld. Counsel for the Respondent/Personal Guarantor.

Vide common order pronounced in the Open Court, the report of the IRP is taken on record. Petition under Section 95 is admitted.

Insolvency proceedings is initiated against the Personal Guarantor, S. Swaminathan and Shri. Madhu Desikan, is appointed as the IRP.

IA(IBC)/2382(CHE)/2024 disposed of.

CORAM:

SANJIV JAIN, MEMBER (JUDICIAL)

VENKATARAMAN SUBRAMANIAM, MEMBER (TECHNICAL)

Order Pronounced on 5th June, 2026

COMMON ORDER

(Heard through Video Conferencing)

This petition CP(IB)/179(CHE)/2024 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 has been filed by the Indian Bank, Stressed Asset Management Branch, Chennai (“Financial Creditor”) against S. Swaminathan (“Personal Guarantor”) who stood guarantee for the loan facilities availed by the Corporate Debtor, Indalloys & Extrusion Pvt. Ltd. The prayer made in the petition is to initiate insolvency resolution process against the Personal Guarantor.

2. Part-I of the petition sets out the details of the Petitioner, Indian Bank. It was incorporated on 15.08.1907 and its business address is SAMB, Zonal Office Building, No. 55, 2nd Floor, Ethiraj Salai, Egmore, Chennai-600 008.

3. Part-II of the petition sets out the details of the Personal Guarantor, S. Swaminathan. He has been living at No.45, South Usman Road, T. Nagar, Chennai-600 017.

4. Part-III of the petition sets out the particulars of debt, amount in default and the date of default. The amount of debt is stated as Rs.15.69 Crores as on 11.02.2009 and Rs. 32.62 Crores as on 22.07.2024 and date of default is stated as 30.04.2009.

5. In Part-IV of the petition, the Petitioner has proposed the name of Mr. Madhu Desikan as the Resolution Professional for conducting the insolvency process against the Personal Guarantor. The Petitioner has attached the documents details mentioned at page 19 of the petition which include statement of accounts as per R.C. 224/2021 in O.A. No. 57/2011 showing the closing balance as Rs. 32,61,85,318.37.

6. As per the averments made in the petition, the Corporate Debtor Indalloys & Extrusion Private Limited had availed the credit facilities from the Petitioner in the form of OCC for Rs.8.00 Crores, Term Loan for Rs.2.06 Crores and LC for Rs.6.00 Crores. It executed various loan documents for the security of the loans. The Respondent/Personal Guarantor extended Guarantee by executing an Agreement of Guarantee dated 12.03.2008. The Corporate Debtor and the Guarantors defaulted in repayment of loan facilities which made the Petitioner file the recovery suit before the DRT vide O.A. No.57/2011. The DRT, Chennai vide its order dated 23.10.2019 which