IBBI, SC Judgement Dated 28/04/2026 – Settles Law on Guarantee Validity, Stamping and Disclosures in CIRP 

Case of State Bank of India vs Doha Bank QPSC, SC Judgement Dated 28th April 2026. The apex court reiterated that a guarantor liability is co-extensive with that of the principal borrower. Therefore, any liability arising from a corporate guarantee falls squarely under the definition of ‘financial debt’. Mere non-disclosure of a corporate guarantee in the corporate debtor’s financial statements does not deprive the creditor of their right to lodge a claim. The court ruled that insufficient stamp duty on guarantee instruments is a curable defect and does not render the guarantee void or unenforceable. The omission of certain corporate guarantees in initial claim filings (like Form-C) does not negate the creditor claim.

(Link: SC Judgement Dated 28/04/2026) 

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