Inderjeet Arya And Anr vs Icici Bank Ltd

The Supreme Court ruled that the protection under Section 22(1) of the Sick Industrial Companies (Special Provisions) Act, 1985 (SICA) does not extend to directors and guarantors of a sick company unless the action against them qualifies as a 'suit'. The Court upheld the High Court's decision which relied on precedents including Kailash Nath Agarwal v. Pradeshiya Industrial & Investment Corporation of U.P. Ltd. and others (2003) 4 SCC 305, confirming that the appellants, as guarantors, were not entitled to the protections of SICA in the context of the recovery proceedings initiated by the bank. Consequently, the appeal was dismissed.