Authority: National Company Law Tribunal, Division Bench (Court-I), Chennai
Order Date: 15 June 2026
Case Overview
The National Company Law Tribunal (NCLT) Chennai heard petition CP(IB)/315(CHE)/2025 filed by Karnataka Bank (Financial Creditor) against Kashasai Elangkumaran (Personal Guarantor) under Section 95(1) of the Insolvency and Bankruptcy Code, 2016. The petition seeks initiation of insolvency proceedings against the personal guarantor.
During the hearing, the counsel for Karnataka Bank, Mr. Yahya Batatawala, stated that the Resolution Professional (RP) had filed a report recommending initiation of insolvency proceedings against the personal guarantor. This recommendation was made through application IA/991/2026, which had not yet been listed for hearing.
The counsel for the personal guarantor, Mr. Vishal Sinha, contested the petition by arguing that the Financial Creditor had already received substantial amounts from the Corporate Insolvency Resolution Process (CIRP) of the Corporate Debtor. He contended that no money was due from the personal guarantor and expressed intention to file an objection in this regard.
Final Outcome
The NCLT bench comprising Member (Judicial) Sanjiv Jain and Member (Technical) Venkataraman Subramaniam directed the Financial Creditor's counsel to serve a copy of the petition to the Personal Guarantor. The petition was adjourned and listed for next hearing on 16 July 2026. The tribunal did not make any determination on the merits of the case at this hearing.
Topics: Insolvency Proceedings, Personal Guarantor, Banking Dispute