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2019 (1) TMI 331 - AT - Insolvency and BankruptcyValidity of admission order dated 11th May, 2018 - ex-parte order - the notice was spent by Speed Post, which was never received by the Appellant - application under Section 7 of the ‘I&B Code’ - Corporate debtor and financial debtor - Held that:- Clause (i) of sub-section (8) of Section 5 shows that any liability in respect of any ‘guarantee’ or ‘indemnity’ for any of the items referred to in sub-clauses (a) to (h) comes within the meaning of ‘Financial Debt’. The ‘Corporate Debtor’ having given ‘guarantee’ on behalf of the principal borrower for the items referred to in sub-clause (a), guarantor company will also come within the meaning of ‘Corporate Debtor’ qua the ‘Financial Creditor’ in whose favour the guarantee has been given. Service of notice of admission - Held that:- Even if it is accepted that it was not served, we are not inclined to remit the case on such ground as it will be mere formality, as admittedly debt is payable by the ‘Corporate Debtor’ and the ‘Corporate Debtor’ defaulted to pay. It is not the case of the Appellant that if the notice would have been served before admission of the application under Section 7, the ‘Corporate Debtor’ would have cleared the debt amount. No relief can be granted - appeal dismissed.
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