https://www.taxtmi.com/caselaws?id=782783 A shareholder or preference shareholder whose interest is merely derivative, and who shows no direct legal injury, lacks locus standi as a "person aggrieved" to challenge CIRP admission under Section 61 of the Insolvency and Bankruptcy Code. Preference shareholding, without a debt-creating agreement or contractual conversion into financial debt, does not by itself confer creditor status. The discussion also notes that a corporate guarantor may be proceeded against under Section 7 on default of the guaranteed debt, because liability under a corporate guarantee is coextensive with that of the principal debtor, and the creditor need not first exhaust remedies against the borrower. en-us Wed, 29 Oct 2025 00:00:00 +0530 Thu, 04 Dec 2025 09:19:45 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=782783 A shareholder or preference shareholder whose interest is merely derivative, and who shows no direct legal injury, lacks locus standi as a "person aggrieved" to challenge CIRP admission under Section 61 of the Insolvency and Bankruptcy Code. Preference shareholding, without a debt-creating agreement or contractual conversion into financial debt, does not by itself confer creditor status. The discussion also notes that a corporate guarantor may be proceeded against under Section 7 on default of the guaranteed debt, because liability under a corporate guarantee is coextensive with that of the principal debtor, and the creditor need not first exhaust remedies against the borrower. Case-Laws IBC Wed, 29 Oct 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=782783