Authority: National Company Law Tribunal, Division Bench, Court - 1, Ahmedabad
Order Date: 29 June 2026
Case Overview
The National Company Law Tribunal (NCLT) Ahmedabad heard proceedings under Section 121(1) of the Insolvency and Bankruptcy Code, 2016 (IBC). The application was filed by State Bank of India (SBI) Stress Asset Management Branch against respondent Nanjibhai Ranabhai Khamal. The tribunal noted that SBI had filed an Affidavit of Compliance on 23 June 2026 (Inward Diary No. D-5119) pursuant to its order dated 16 June 2026.
Upon examination of the Demand Notice dated 13 April 2021 issued under Section 13(2) of the SARFAESI Act, 2002, the tribunal observed that eight individuals had mortgaged their immovable properties to secure credit facilities extended to the corporate debtor. However, SBI had initiated insolvency proceedings under Section 95 of IBC against only four of these personal guarantors: Hetalben Bhaveshbhai Kakadiya, Yogeskumar Chimanlal Patel, Tikhabhai Ranabhai Khamal, and Nanjibhai Ranabhai Khamal (the respondent). The tribunal specifically noted that no proceedings had been initiated against the other four guarantors: Bhavesh Jivrajbhai Kakadiya, Babubhai Kakadiya, Ramaben Khamal, and Vipulbhai Vora, despite their properties also being mortgaged to secure the same corporate debt.
Final Outcome
The NCLT directed SBI to explain why it initiated proceedings under Section 95 of IBC against only four of the eight personal guarantors who had mortgaged properties for the corporate debt. The matter has been adjourned and will be heard next on 10 July 2026 for further consideration of SBI's explanation.
Topics: Insolvency Proceedings, Banking Law, Guarantor Liability