HDFC Bank plans to move NCLAT against NCLT order in Subhash Chandra case
HDFC Bank plans to appeal an NCLT order that accepted Subhash Chandra's ₹6.5 crore repayment offer against total claims of ₹22,006 crore. Other creditors, including LIC Housing Finance, are continuing their own legal efforts to recover debts from the principal borrowers.
Why it matters
The case highlights the complexities of personal insolvency proceedings under the Insolvency and Bankruptcy Code and the potential impact on creditor recovery rights.
HDFC Bank, one of the creditors in the Zee TV founder Subhash Chandra personal guarantee case, said it was exploring filing an appeal at the NCLAT, against the recent NCLT order that had accepted Mr. Chandra’s repayment offer of ₹6.5 crore to clear personal guarantee liabilities amounting to creditors’ claims of ₹22,006 crore.
The bank said it had opposed and voted against this resolution, which was approved by the majority of creditors.
With regard to this NCLT matter, HDFC Bank said it’s admitted claim was only 3.2% of the total stated claim amount of ₹22,006 crore which works out to be around ₹705 crore. Besides this the borrower is liable for interest payment.
The Bank inherited this facility which was previously provided by HDFC Ltd, it stated.
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