PUNJAB NATIONAL BANK Vs. ANAND DISTILLERIES PVT LTD

JUDGEMENT

(1.) It is a Company Petition filed under section 7 of Insolvency & Bankruptcy Code by the Financial Creditor namely; Punjab National Bank (PNB) against the Corporate Debtor namely; Anand Distilleries Pvt. Ltd. seeking initiation of Corporate Insolvency Resolution process against the Corporate Debtor for having this debtor defaulted in making repayment of the loan facility availed from the Bank on 31.05.2011, therefore, this Petitioner sought repayment of Rs. 79,10,51,494 outstanding due as on 31.05.2017.

(2.) As this Corporate Debtor approached the Petitioner for loan facility, on 23.09.2006 the Petitioner informed the Corporate Debtor that it sanctioned Term Loan of Rs. 12 crores and Fund based limit of Rs. 3 crores with terms and conditions as mentioned in the said sanction letter and agreement entered between them, in pursuance thereof, above said amounts were disbursed on 23.09.2006 itself. Again on 29.10.2007, the Petitioner sanctioned additional Term Loan of Rs. 6 crores, that was also disbursed on 29.10.2007. Thereafter, additional term loan of Rs. 6 crores with enhancement limit up to Rs. 6.75 crores from the existing Rs. 3 crores through another sanction letter dated 29.04.2008, in pursuance of this facility was also availed by the Corporate Debtor on 29.04.2008. In addition to these facilities, this Corporate Debtor availed temporary enhancement to working facility limit to a tune of Rs. 1.6 crores from Rs. 6.75 crores through sanction letter dated 30.03.2010, however, this has been subsequently shown as adjusted/paid. Besides the facilities availed as mentioned above, this Corporate Debtor has also availed ad-hoc cash credit facility of Rs. 3.4 crores on 28.06.2010 by a sanction letter dated 28.06.2010 and another Rs. 5.5 crores ad-hoc facility on 28.3.2011 basing on a sanction letter dated 28.3.2011. So, the aggregate loan facility availed by the Corporate Debtor under different heads came to Rs. 30,00,75,000.

(3.) For availing all these loans, this Corporate Debtor executed term loan agreement (Exhibit-H) dated 20.10.2006 for an amount of Rs. 3.6 crores, hypothecation agreement (Exhibit-I) dated 20.10.2006 for an amount of Rs. 3 crores, agreement of guarantee (Exhibit-J) dated 20.10.2006 executed by Shri Anandkumar Bhamore, Shri Abhay A. Bhamore, Shri Arvindkumar Bhamore, Shri Ramniwas G. Chadelwal, Smt. Sarla A. Bhamore and Smt. Madhu A. Bhamore for an amount of Rs. 15 crores, hypothecation of asset to secured term loan agreement (Exhibit-K) dated 20.10.2006 for an amount of Rs. 8.40 crores, the term loan dated 08.12.2007 for an amount of Rs. 2.19 crores, hypothecation of asset to secured term loan agreement (Exhibit-M) dated 08.12.2007 for an amount of Rs. 3.81 crores, agreement of guarantee (Exhibit-N) dated 08.12.2007 for an amount of Rs. 21 crores, hypothecation of Goods & Books to secure Cash Credit Facility dated 20.05.2008 (Exhibit-O) for an amount of Rs. 6.75 crores, hypothecation of assets to secure term loan agreement (Exhibit-P) dated 20.05.2008 for an amount of Rs. 6 crores, agreement of guarantee (Exhibit-Q) dated 20.5.2008 executed by the same guarantors mentioned above for amounts of Rs. 6 crores and 6.75 crores, supplementary agreement dated 20.5.2008 (Exhibit-R) to avail credit limits of above Rs. 25 lakhs for an amount of Rs. 30.75 crores, letter of consent from guarantors (Exhibit-S) given by director of Anand Distilleries in respect to credit facility sanctioned, consent letter from guarantor dated 14.09.2009 (Exhibit-T) and supplementary agreement dated 14.09.2009 (Exhibit-T1), hypothecation of Goods & Books to secure cash credit facility dated 30.03.2010 (Exhibit-U) for an amount of Rs. 1.6 crores wherein limit increased from 6.7 crores to Rs. 8.35 crores, agreement of guarantee dated 30.03.2010 (Exhibit-V) by the same guarantors for an amount of Rs. 8.35 crores, hypothecation of Goods & Books debts to secure cash credit facility dated 29.06.2010 (Exhibit-W) for an amount of Rs. 10.15 crores, agreement of guarantee dated 03.02.2011 (Exhibit-X) by the same guarantors for an amount of Rs. 12.25 crores, hypothecation agreement 03.02.2011 (Exhibit-Y) for an amount of Rs. 12.25 crores, agreement of guarantee dated 03.02.2011 (Exhibit-Z) executed by the guarantors for an amount of Rs. 12.25 crores, an agreement of guarantee dated 03.02.2011 (Exhibit-AA) executed by Mr. Anandkumar Bhamore and Abhay Anand Bhamore for an amount of Rs. 12.25 crores in favour of the Petitioner. These are various documents executed by the Corporate Debtor and some documents by the guarantors in favour of the petitioners binding themselves as liable to repay the loan facilities availed by the Corporate Debtor.