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    Continuing personal guarantees can cover renewed credit facilities and contracted interest beyond the stipulated principal cap.
    Finality of insolvency orders bars guarantors from reopening notice, limitation, and factual challenges during consequential bankruptcy proceedings.
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      Insolvency and Bankruptcy

      Admission of section 7 application - initiation of CIRP against...

      Corporate Insolvency Process Upheld; Financial Creditor's Settlement Terms Prevail Over Debtor's Default Allegations.

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      Insolvency and BankruptcyFebruary 13, 2024Case LawsAT
      Admission of section 7 application - initiation of CIRP against the Corporate Debtor - existence of debt and default or not - When the Financial Creditor had repeatedly made it clear that they were strictly relying on the terms and conditions of the Settlement Agreement and that NoC would be released only after settlement amount was received, levelling of allegation by the Corporate Debtor that the Financial Creditor was responsible for their default is devoid of force and substance. - The moment the Adjudicating Authority is satisfied that a default has occurred, the Application is to be admitted unless it is incomplete. - NCLT rightly admitted the application.

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      ActsIncome Tax