NCLT puts Subhash Chandra’s Rs. 6.25-crore repayment clearance on-hold
The National Company Law Tribunal’s five‑member Special Bench has stayed the operation of the 25 August order that allowed Essel Group founder Subhash Chandra to settle his personal insolvency proceedings by paying Rs 6.25 crore against Rs 22,006.57 crore in admitted claims. The stay freezes the earlier approval and prevents the repayment plan from taking effect until the Special Bench completes its fresh hearing.
The single‑member Bench’s order had permitted Chandra to close the insolvency case with a sharply reduced settlement figure, triggering objections from multiple financial creditors. The matter was escalated after the tribunal’s benches delivered conflicting views on the repayment proposal, leaving no majority position and prompting intervention from the NCLT President.
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NCLT orders fresh hearing on Subhash Chandra repayment plan
With the stay now in force, Chandra’s settlement plan is non‑operational, and all parties must await the Special Bench’s re‑evaluation of the personal‑guarantee dispute. The case returns to active adjudication, with the tribunal signalling that a unified, majority‑backed order is required before any repayment terms can proceed.
