Authority: National Company Law Tribunal (NCLT), Division Bench, Court - 1, Ahmedabad

Order Date: 15/06/2026

Case Overview

This proceeding, C.P.(IB)/218(AHM)2025, was initiated under Section 95 of the Insolvency and Bankruptcy Code (IBC), 2016, by the State Bank of India against Mr. Jignesh Jamnadas Mankadia in his capacity as the Personal Guarantor for the corporate debtor, M/s Anihar Global Pvt. Ltd. The specific Interlocutory Application (IA/789(AHM)2026) was filed by the Resolution Professional (RP), Mr. Darshan Bharatbhai Patel, under Sections 60(5), 106, 112, and 115(2) of the IBC, read with Regulation 17B and 19 of the IBBI (Personal Guarantor) Regulations and Rule 11 of the NCLT Rules, 2016.

The core issue was the non-submission of a repayment plan by the Personal Guarantor within the stipulated timeline of the Personal Insolvency Resolution Process (PIRP). Despite being given an opportunity, Mr. Mankadia failed to submit a plan. Consequently, the creditors, in their second meeting held on 04.05.2026, passed a resolution with a 100% majority vote. They resolved that, in the absence of a repayment plan, a resolution was not possible and directed the RP to file a report under Section 112 of the IBC with the Tribunal.

The Adjudicating Authority, in its reasoning, relied on established legal precedent from the National Company Law Appellate Tribunal (NCLAT) in the cases of Naseer Ahmed v. Ravindra Beleyur (2025), Paresh Rastogi v. Omkara Assets Reconstruction Pvt. Ltd. (2025), and Sudip Dutta v. Prashant Jain (2024). These rulings consistently held that non-submission of a repayment plan is to be treated as a deemed rejection under Section 114 of the IBC. This interpretation is further supported by Regulation 17B of the IBBI (Insolvency Resolution Process for Personal Guarantors to Corporate Debtors) (Amendment) Regulations, 2025, which mandates the RP to file a report and seek directions from the Tribunal in such scenarios.

Final Outcome

The Tribunal disposed of the application (IA/789(AHM)2026) with the following specific directions:

(a) The report filed by the RP under Section 112 of the IBC was taken on record and accepted. The absence of a repayment plan was formally treated as a deemed rejection under Section 114 of the Code.

(b) Liberty was granted to the creditors (State Bank of India) and/or the debtor (Mr. Jignesh Jamnadas Mankadia) to initiate bankruptcy proceedings against the Personal Guarantor under Sections 115(2) and 121 of the IBC. This initiation must occur within three months from the date of this order (15/06/2026).

(c) The moratorium that commenced under Section 101 of the IBC concerning all debts and assets of the Personal Guarantor ceased to have effect immediately from the date of this order. Consequently, creditors are now free to pursue other legal remedies available to them outside the framework of the IBC.

(d) The Resolution Professional, Mr. Darshan Bharatbhai Patel, stands discharged from his duties in this PIRP. He is entitled to claim the costs incurred during the process from the creditors in proportion to their admitted claims, as per Regulation 13(1)(b) of the PG Regulations.

(e) The Applicant/RP was directed to communicate a copy of this order to all creditors, the Personal Guarantor, and the Insolvency and Bankruptcy Board of India (IBBI) within one week.

Topics: Insolvency, Personal Guarantor, Bankruptcy