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.
