Liquidator's Plea for Fresh FDR as Margin Against Customs Bank Guarantee Fails: NCLAT in Naresh Kumar Goel Vs Indian Overseas Bank
The National Company Law Appellate Tribunal (NCLAT), Delhi, in Naresh Kumar Goel Vs Indian Overseas Bank & Anr., upheld the dismissal of a Liquidator's application seeking a direction to a bank to create a fresh fixed deposit receipt (FDR) as full margin for a bank guarantee given to the Customs Department. The order is short, but it rests on a principle that matters in liquidation: a surety's assets are distinct from those of the corporate debtor.