Mumbai, November 12, 2026: The National Company Law Tribunal (NCLT) has admitted a plea filed by Bank of Baroda to initiate insolvency resolution proceedings against Jawaharlal Rijhumal Gangaramani, personal guarantor of Alfara'a Infraprojects Private Limited, over an alleged default of ₹2,957.72 crore.
The bank had filed the petition under Section 95 of the Insolvency and Bankruptcy Code (IBC) on August 24, 2020, seeking recovery of ₹2,95,77,27,075.27 outstanding as of April 30, 2020, along with further interest, charges and expenses. The proceedings concern credit facilities extended to Alfara'a Infraprojects, for which Gangaramani had furnished personal guarantees.
“We are satisfied that the petition filed by the Financial Creditor under Section 95 of the Code is complete and merits admission. The debt and default stand established, and the resolution professional has recommended acceptance of the petition. Consequently, we admit the present petition and order the initiation of the Insolvency Resolution Process against the Respondent/Personal Guarantor, Jawaharlal Rijhumal Gangaramani,” the order copy reads.
Company Executed Major Infrastructure Projects
According to reports, the company was engaged in executing construction projects, including residential and commercial buildings, multi-storey high-rise towers, healthcare facilities, heritage structures, hotels, multiplexes, villas and shopping malls, on an EPC basis. Its work also included civil and MEP works, HVAC, firefighting, interiors, BMS and external development works.
Alfara’a was among the prominent companies, with a Rs 498 crore contract from the Maharashtra Metro Rail Corporation for the Pune Metro Rail Project.
Bank Sanctioned Credit Facilities Worth Rs 360.50 Crore
According to the petition, the bank had sanctioned credit facilities to the company through sanction letters issued in June 2012 and January 2014. The facilities were subsequently renewed in December 2016 for a total of ₹360.50 crore, comprising a cash credit facility of ₹36.50 crore, a bank guarantee facility of ₹249 crore and a letter of credit facility of ₹75 crore.
To secure repayment, Gangaramani executed two general forms of guarantee in favour of the bank — one dated March 8, 2014, limited to ₹376.09 crore, and another dated January 22, 2018, limited to ₹360.50 crore. Both guarantees made him jointly and severally liable for repayment of the facilities.
Loan Account Classified As NPA In 2018
The company defaulted on its repayment obligations, following which its loan account was classified as a non-performing asset on June 18, 2018. On July 5, 2018, the bank issued notices under Section 13(2) of the SARFAESI Act to the company and the guarantors, demanding payment of ₹2,825.54 crore, including interest calculated up to June 30, 2018.
The company subsequently underwent corporate insolvency resolution proceedings, which were initiated by the NCLT on April 12, 2019.
The bank later issued a demand notice to Gangaramani on July 18, 2020, calling upon him to pay the outstanding dues. The notice was delivered on July 24, 2020. In a letter dated August 6, 2020, Gangaramani acknowledged receiving the notice and sought time until January 2021 to complete the sale of shares in group companies in the UAE and repay the dues.
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Resolution Professional Recommends Admission
The NCLT appointed resolution professional Anuj Bajpai on December 13, 2024, to examine the bank's application and submit a report under Section 99 of the IBC.
In his report, the resolution professional recommended admission of the petition, stating that the personal guarantor had not provided any evidence of repayment despite being asked to do so.
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