Harihar Prakash Chaturvedi, Member - (1.) Present Insolvency Applications i.e. CP No. (IB)70/ALD/2017 and CP No. (IB)71/ALD/2017 are filed by the Financial Creditor (the Bank of Baroda) against the Corporate Debtor Companies Rotomac Global Private Limited and Rotomac Exports Private Limited respectively.
(2.) These applications have been filed U/s. 7 of the Insolvency & Bankruptcy Code, 2016 [hereinafter referred to as "the Code"] read with Rule 4 of the Insolvency & Bankruptcy (Application to Adjudicating Authority) Rules, 2010 for triggering the Corporate insolvency Resolution Process in respect of the corporate debtor companies namely M/s. Rotomac Global Private Limited (being principal borrower) and further M/s. Rotomac Exports Private Limited (as being surety to the loan availed). Hence, both the applications were heard together and for the sake of convenience, are being disposed of by this common order.
(3.) Brief facts of the case, as per the Applicant Bank is that the Corporate Debtor Company has committed default in making payment of its debts for outstanding amount of Rs. 553,78,21,954.66/- (Rupees Five hundred and Fifty-Three Crores, Seventy-Eight Lakhs, Twenty-One Thousand, Nine Hundred and Fifty-Four and Sixty-Six Paise Only) such loan facilities have been availed by the borrower company M/s. Rotomac Global Pvt. Ltd. to which the another Corporate Debtor Company (in CP No. 71/2017) e.g. M/s. Rotomac Exports has stood as guarantor. In addition to such loan the admitted outstanding debts due by the Corporate Debtors in respect of other secured creditors also comes around to Rs. 4,420/- Crores (Rupees Four Thousand Four Hundred Twenty Crores) which is evident from the company's own letter dated 14th March, 2016 in respect of the loan amount advanced to the Rotomac Global Pvt. Ltd. being a principal borrower for which the Rotomac Export Pvt. Ltd. Company (herein the Corporate Debtor in CP No. 71 of 2017) stood as corporate guarantor. Hence, as per the Applicant Banks, their liabilities are joint and several co-extensive with the liabilities of principal borrower. It is stated that a default is occurred U/s. 3(11) of the I & B Code in making repayments of debts.;