https://www.taxtmi.com/caselaws?id=300031 The Tribunal ruled in favor of the Resolution Professional, holding that fixed deposits made by the Corporate Debtor could not be redeemed by the Respondent Bank during the Corporate Insolvency Resolution Process. The Tribunal determined that the fixed deposits were not equivalent to a performance guarantee exempted under the Insolvency and Bankruptcy Code, as they were provided as security against a loan facility. Therefore, the Respondent Bank's claim of lien and set off was dismissed, and the bank was directed to transfer the amount payable on closure of the fixed deposits to the Corporate Debtor's account with another bank. en-us Mon, 04 Jan 2021 00:00:00 +0530 Mon, 10 Jan 2022 08:59:24 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=300031 The Tribunal ruled in favor of the Resolution Professional, holding that fixed deposits made by the Corporate Debtor could not be redeemed by the Respondent Bank during the Corporate Insolvency Resolution Process. The Tribunal determined that the fixed deposits were not equivalent to a performance guarantee exempted under the Insolvency and Bankruptcy Code, as they were provided as security against a loan facility. Therefore, the Respondent Bank's claim of lien and set off was dismissed, and the bank was directed to transfer the amount payable on closure of the fixed deposits to the Corporate Debtor's account with another bank. Case-Laws Insolvency and Bankruptcy Mon, 04 Jan 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=300031