Mr. Anirudha Balkrishna Joshi & Ors vs The Bharat Co-Operative Bank(Mumbai) ...

Mr. Anirudha Balkrishna Joshi & Ors. ...Appellants

Vs

The Bharat Co-operative Bank(Mumbai) Ltd. & Ors. ....Respondents

Present:

For Appellants: Mr. U.K. Choudhary, Senior Advocate withy Mr. Rajesh Bohra, Ms Sangeeta Bohra and Mr. Aditya Narayan, Advocates.

For Respondents: Mr. Rajesh Nagory, Mr. Vinod Kotwari, Mr. P.S. Sudheer, Mr. Bharat Sood Advocates and Mr. Dhananjay Kumar, - authorized representative of Respondent No. 1

ORDER

16.04.2018 Caveat discharged. The Appellant claiming to be guarantor

and Director of the 'Corporate Debtor' is aggrieved of the impugned order dated

21.02.2018 passed by the Adjudicating Authority, National Company Law

Tribunal, Mumbai Bench (henceforth referred to as "NCLT") in MA No. 402/2017

in C.P. No. 1313/I&BP/2017 by virtue whereof the Appellant's application for

extending protection of moratorium to him as personal guarantor has been

dismissed on the ground that the moratorium is not extendable against the

assets of the promotors/co-borrowers/guarantors.

Learned Counsel for the Appellant submits that the finding recorded by

the Adjudicating Authority is erroneous in view of the law laid down by this

Appellate Tribunal that the moratorium is not only applicable to the property of

the 'Corporate Debtor' but also on the personal guarantor.

COMPANY APPEAL(AT)(INS) NO. 132 OF 2018 1

Learned Counsel for the Appellant submits that the Adjudicating Authority

being NCLT, Mumbai Bench has extended the moratorium by 90 days from

14.03.2018 till 12.06.2018.

Heard learned Counsels for the parties. This Appellate Tribunal in

Company Appeal(AT)(Insolvency) No. 213 of 2017 titled 'SBI Vs. V.

Ramakrishnan and Anr.' decided on 28.02.2018 held that the moratorium

would be applicable on the personal guarantor besides property of the 'Corporate

Debtor'. This judgment holds the field till date and it has not been disturbed by

the Hon'ble Apex Court.

In view of the settled law, the impugned order cannot be sustained. At this

stage, learned Counsels for the parties agreed to disposal of the appeal. The

appeal is accordingly disposed of by holding that moratorium slapped in terms

of the order dated 15.09.2017 passed by the Adjudicating Authority, NCLT,

Mumbai Bench in C.P. No. 1313/I&BP/2017 will also extend to the property of

the Appellant- personal guarantor. Impugned order is set aside as being legally

unsustainable and the Appeal is allowed.

[Justice Bansi Lal Bhat] Member (Judicial) Akc/Unk

COMPANY APPEAL(AT)(INS) NO. 132 OF 2018 2