State Bank Of India vs Prem Chand Garg (Personal Guarantor Of ...
- CitationCompany Appeal (AT) (Insolvency) No. 2303 of 2024
Ratio decidendi
The rule this decision rests on
The appeal turns on whether costs may be imposed on an applicant where the adjudicating authority's observations of concealment are directed only at the personal guarantor, and the tribunal's reasoning on that point is brief: it finds no sufficient grounds for imposing costs on the applicant, and sets aside the cost so imposed. Separately, on the delay application, the tribunal holds that where an order has not been pronounced in open court and was uploaded to the portal on a particular date, the limitation period for appeal runs from that upload date, so that an appeal e-filed within 30 days of upload is within time and no delay is to be condoned.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
IN THE MATTER OF: State Bank of India ...Appellant Versus Prem Chand Garg (Personal Guarantor of Nutrionex Manufacturers Ltd.) ...Respondent
Present: For Appellant : Mr. Ankur Mittal, Ms. Yashika Sharma and Ms. Muskan Jain, Advocates for SBI.
For Respondent : Mr. Ashish Verma and Mr. Nikhil Thakur, Advocates.
WITH
Company Appeal (AT) (Insolvency) No. 2309 of 2024 & I.A. No. 8683 of 2024
IN THE MATTER OF: State Bank of India ...Appellant Versus Anita Garg (Personal Guarantor of Nutrionex Manufacturers Ltd.) ...Respondent
Present: For Appellant : Mr. Ankur Mittal, Ms. Yashika Sharma and Ms. Muskan Jain, Advocates for SBI.
For Respondent : Mr. Ashish Verma and Mr. Nikhil Thakur, Advocates. ORDER
(Hybrid Mode)
20.12.2024 : I.A. Nos. 8664 & 8683/2024
1. These are Applications praying for condonation of 22 days delay in filing
of the Appeal.
2. The Order impugned was passed on 30.09.2024 and the Appeal has
been e-filed on 21.11.2024.
3. Learned Counsel for the Appellant submits that the Order was not
pronounced and it was uploaded only on 22.10.2024, hence the Appellant
had no occasion to know about the Order and Appeal was e-filed on
22.11.2024 i.e., within 30 days from uploading of the Order.
4. Counsel for the Respondent does not oppose the condonation of delay.
5. In view of the aforesaid, we do not find any delay in filing the Appeal.
Order has been uploaded on 22.10.2024 and the Order having not been
pronounced in the Court, the delay condonation Application is allowed
accordingly.
Comp. App. (AT) (Ins.) Nos. 2303 & 2309 of 2024
1. These two Appeals have been filed by the State Bank of India (SBI)
challenging the Order dated 30.09.2024 insofar as it imposes cost of Rs. 2
Lakhs on the SBI.
2. Application under Section 95 was filed by the SBI against the Personal
Guarantor. The observation which has been made by the Adjudicating
Authority regarding concealment of Application pending against the
Guarantors before the Principal Bench were all amputed to the Personal
Comp. App. (AT) (Ins.) No. 2303 & 2309 of 2024 2 of 3 Guarantor and the observations which have been made in the Impugned
Order are basically against the Personal Guarantor however the Adjudicating
Authority imposed the cost on Applicant as well as the Personal Guarantor.
3. Learned Counsel for the Appellant submitted that observations made
in the Order were against the Personal Guarantor who was alleged to have
concealed the relevant facts and no observations were made against SBI,
hence there was no occasion for imposing the cost on SBI.
4. Learned Counsel for Respondent submits that observations made in the
Order are incorrect. In the present Appeal are only concerned with the cost
imposed on SBI.
5. We find no sufficient grounds for imposing the cost on SBI. We thus
allow the Appeal, set aside the cost of Rs. 2 Lakhs imposed on the SBI.
Both the Appeals are disposed of.
[Justice Ashok Bhushan] Chairperson
[Barun Mitra] Member (Technical) himanshu/nn
Comp. App. (AT) (Ins.) No. 2303 & 2309 of 2024 3 of 3
This page reproduces a public judgment and a summary of it. It is research material, not legal advice, and it is no substitute for advice from an advocate on your own facts.
Research this judgment with Miss Lucy
Ask what it holds, what has followed it, and what it means for your matter — in plain English, with the citations.
Try Miss Lucy free