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Delhi High Court Stays Insolvency Proceedings Against Anil Ambani

The court also prohibited Anil Ambani from disposing of any of his assets.

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Delhi High Court on Thursday, 27 August, stayed insolvency proceedings against Anil Ambani in a matter related to a personal guarantee given by him against a loan taken for his companies, reported NDTV.

Further, the court prohibited Anil Ambani from disposing of any of his assets.

According to NDTV, the bench comprising of Justices Vipin Sanghi and Rajnish Bhatnagar also issued a notice on Ambani's petition challenging the validity of the section about personal guarantee and bankruptcy, and asked whether there is any enabling provision in the Insolvency and Bankruptcy Code for the order.

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BACKGROUND

Ambani had previously filed a petition before the Delhi High Court challenging an order by the National Company Law Tribunal (NCLT) which had appointed a bankruptcy administrator to verify SBI’s claim that Ambani had offered approximately ₹ 1,200 crore of personal guarantees to seek the loan.

The case is slated for next hearing on 6 October.

(With inputs from NDTV)

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