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2017 (9) TMI 857 - Tri - Insolvency and BankruptcyInitiation of Insolvency Resolution Process - eligible financial debt - Held that:- A perusal of the legal notice got issued by the Applicant and the statutory notice issued by Applicant clearly goes to show that Applicant recalled the entire loan amount both from the Principal Borrower and the Guarantor and both of them failed to repay the loan amount. The liability of the Respondent being a Guarantor is co- extensive with the liability of the Principal Borrower. The debt due to the Applicant Financial Creditor from the Respondent is a financial debt. There is material on record to show that there is occurrence of default in repayment of the financial debt by the Respondent herein, being the Guarantor. The Application filed by M/s. Reliance Commercial Finance Limited is complete in all respects and no defect is pointed out. In this Application filed by M/s. Reliance Commercial Finance Ltd., Respondent did not choose to file any objections. Learned Counsel appearing for the Respondent stated that they are making every effort to settle with all the creditors by making payments in due course of time. In view of the above discussion, the Application filed by the Applicant, M/s. Reliance Commercial Finance Ltd., i.e., CP (IB) No. 66 of 2017 deserves to be admitted, and it is accordingly admitted under Section 7(5) of the Code. Considering the fact that the financial debt due to the Financial Creditor, M/s. Reliance Commercial Finance Limited is higher than the debts together due to other Applicant Financial Creditors, this Adjudicating Authority is of the considered view that the Interim Resolution Professional proposed by M/s. Reliance Commercial Finance Limited should be appointed as 'Interim Resolution Professional'. Therefore, this Adjudicating Authority appoints Shri Pramod Bajranglal Kedia, C/o. Kedia & Kedia Associates, Chartered Accountants, 205, Kaling, Near Mount Carmel School, Behind Bata Show Room, Ashram Road, Ahmedabad- 380009, having Registration No. IBBI/IPA-001/IP-P00091/2017- 2018/10191, as 'Interim Resolution Professional', because his Written Communication is available. This Adjudicating Authority hereby declares moratorium under section 13(1)(a) of the Code prohibiting as laid down in section 14 of the Code. The Interim Resolution Professional appointed shall also make public announcement about initiation of 'Corporate Insolvency Resolution Process', as required by Section 13(l)(b) of the Code.
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