https://www.taxtmi.com/caselaws?id=790735 Corporate guarantees securing borrowing against payment of interest can constitute financial debt under the Insolvency and Bankruptcy Code, and the guarantor's liability is coextensive with the principal borrower. As the corporate debtor admitted execution of the guarantees and the record showed they were available to lenders before the account was treated as NPA, the applicants were entitled to be recognised as financial creditors. Rejection of the claims for non-submission, verification defects, or stamping was unsustainable because the resolution process allowed substantiation and non-stamping is a curable defect. The SC also held that perverse concurrent findings could be interfered with in second appeal, and set aside the impugned orders. en-us Tue, 28 Apr 2026 00:00:00 +0530 Wed, 29 Apr 2026 08:24:43 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=790735 Corporate guarantees securing borrowing against payment of interest can constitute financial debt under the Insolvency and Bankruptcy Code, and the guarantor's liability is coextensive with the principal borrower. As the corporate debtor admitted execution of the guarantees and the record showed they were available to lenders before the account was treated as NPA, the applicants were entitled to be recognised as financial creditors. Rejection of the claims for non-submission, verification defects, or stamping was unsustainable because the resolution process allowed substantiation and non-stamping is a curable defect. The SC also held that perverse concurrent findings could be interfered with in second appeal, and set aside the impugned orders. Case-Laws IBC Tue, 28 Apr 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=790735