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2022 (9) TMI 14 - NATIONAL COMPANY LAW TRIBUNAL , NEW DELHI BENCHRecovery of dues of Financial Creditors - whether the amounts of financial creditors will be recovered either on the culmination of CIRP into approval of the Resolution Plan or Liquidation of the assets of the Corporate Debtor are yet to be ascertained and in the absence of which, the amount recoverable from the Respondent herein, if any, cannot be crystallized - surety to secure the credit facilities sanctioned by the members of the consortium to Corporate Debtor - production of vouchers and other supporting documents in support of the alleged debit entries and other alleged transactions contained in the statements of accounts. HELD THAT:- There is no provision in the Code which bars the initiation of Insolvency Resolution Process against the Personal Guarantor until the debt amount which is to be recovered from the Corporate Debtor gets crystallized. Further it is a well settled principle that the liability of surety in the Contract of Guarantee is co- extensive with that of Principal Borrower. Other contention raised by the Personal Guarantor is that the Respondent/Personal Guarantor was coerced into signing the Personal Guarantee agreement - HELD THAT:- The Law of Contract is very clear with respect to voidable contract that when consent to an agreement is caused by coercion, the agreement which is a contract is voidable at the option of the party whose consent was so caused. Meaning thereby that unless proved otherwise the said agreement would be valid and enforceable and since no action was taken to make the contract void it will remain valid and enforceable as per law. Production of vouchers and other supporting documents in support of the alleged debit entries - HELD THAT:- It is pertinent to mention here that the Applicant has registered the debt with the Information Utility i.e. NESL and the copy of the same is also annexed with the application filed by the Financial Creditor. Further, section 99(3) of the IBC, 2016 states that when the debt is registered with the information utility the debtor shall not be entitled to raise dispute to the validity of such debt. Hence, this contention of the Respondent is also not sustainable. After going through all the documents on record the Petition filed under the provisions of Section 95 of IBC, 2016, is hereby admitted under section 100 of the IBC, 2016 - Petition admitted - moratorium declared.
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