Authority: National Company Law Tribunal, Ahmedabad Court-2

Order Date: 13 July 2026

Case Overview

The National Company Law Tribunal (NCLT) Ahmedabad heard matters related to CP(IB) 164 of 2017, a proceeding under Section 7 of the Insolvency and Bankruptcy Code, 2016, between Allahabad Bank (Applicant) and Sai Infosystem (India) Ltd (Respondent). The current application IA/1132(AHM)2022 involves issues regarding contradictory statements made by State Bank of India (SBI) officials and procedural lapses in legal documentation.

The tribunal noted that the Vakalatnama filed on behalf of SBI was improperly filed as it did not bear the signature of counsel accepting the Vakalatnama. The counsel appearing for SBI was directed to pay costs of ₹1,00,000 to the Prime Minister's Relief Fund for having appeared on several dates without filing a proper Vakalatnama.

Substantial contradictions emerged between oral statements made by SBI Chief Manager Mr. Anil Chauhan during the hearing on 23 June 2026 and a subsequent affidavit filed by another SBI official, Mr. Kamlesh Kumar Bhairva (AGM, SAM Branch) dated 08 July 2026. Specifically, Mr. Chauhan had stated that there was no charge from VAT Authority Maharashtra, while the affidavit contradicted this position. The tribunal found it surprising and not permissible under evidence rules for officials to make contradictory statements before the tribunal.

Final Outcome

The tribunal directed that the DGM in charge of SBI's SAM Branch appear personally before the tribunal along with Mr. Anil Chauhan (Chief Manager) and Mr. Kamlesh Bhairva (AGM, SAM Branch) on the next hearing date. They must bring proper documents to explain the bank's stand regarding the contradictory statements made orally and in the affidavit, and whether they examined their legal counsel's filing of a blank (unaccepted) Vakalatnama.

The counsel for SBI was directed to file an appropriate affidavit addressing the procedural lapses, including forwarding by email the contradictory statement via affidavit dated 08 July 2026 filed by another SBI official without explanation as to whether it contradicted facts submitted in the hearing dated 23 June 2026.

The matter was listed for further consideration on 15 July 2026.

Topics: NCLT Proceedings, Banking Compliance, Insolvency Matter