NCLT Chandigarh Sets Aside Canara Bank SARFAESI Sale of Mohan Rail Assets
The Chandigarh Bench of the NCLT allowed applications by suspended directors and personal guarantors of Mohan Rail Components and set aside Canara Bank’s SARFAESI sale certificate covering the company’s core assets. The tribunal held SARFAESI recovery cannot undermine the IBC insolvency resolution process where a Section 7 petition was already heard and reserved, and where an interim moratorium was triggered.