HDFC Bank to challenge Subhash Chandra's repayment plan in NCLAT

The tribunal's approval

The National Company Law Tribunal (NCLT) approved a repayment plan from Zee group founder Subhash Chandra, the Hindu Business Line and Mint reported. Under the plan, Chandra will pay 6.5 crore rupees (about $785,000) to settle admitted creditor claims totaling roughly 22,006.57 crore rupees (about $2.6 billion).

The tribunal based its approval on a vote by the committee of creditors, where lenders holding over 80% of the voting share supported the plan, according to the Hindu Business Line. The resolution professional involved concluded the 6.5 crore rupees represented the total recoverable value from Chandra's disclosed personal assets.

Creditors vow to appeal

HDFC Bank, India's largest private lender, told Mint it plans to challenge the order at the National Company Law Appellate Tribunal (NCLAT). The bank said it stands to recover only 3.2% of its total claim from the settlement, Mint reported, while overall creditor recovery would be about 0.03% of admitted dues, both outlets noted.

Several other major banks, including Axis Bank, Canara Bank, RBL Bank, and Union Bank of India, also voted against the repayment plan, Mint's review of the voting record showed. Objecting creditors alleged that many votes in favor came from entities related to Chandra, the outlet reported.

Allegations of irregularity

Creditors raised objections beyond the vote count, Mint reported. They argued the resolution professional failed to conduct a forensic investigation into Chandra's assets, noting a vast discrepancy between his historical and current net worth. A 2018 certificate assessed his net worth at over 40,000 crore rupees, while his present disclosed net worth was around 31.79 crore rupees.

According to Mint, the objecting lenders also alleged 'grave and material irregularities' in the process, including breaches of Insolvency and Bankruptcy Code rules. The Hindu Business Line noted the NCLT stated it was not bound to reject the plan solely due to procedural lapses.

2 independent outlets on this story. The thread also holds 26 filings over 5 weeks, which is more than this story alone attracted — it has collected neighbouring reports as well.

The engine gives a 65% probability that the National Company Law Appellate Tribunal (NCLAT) will uphold the current plan by September 2026. This would be settled if reports confirm the NCLAT dismisses HDFC Bank's challenge, leaving creditors with the approved ₹6.5 crore against claims exceeding ₹22,000 crore.

A 25% probability path sees the NCLAT ordering a partial revision by the same date. This would require reports stating the tribunal found procedural issues and mandated a revised plan improving creditor recovery to between 5% and 10%, though still representing a massive financial loss.

There is a 10% chance the NCLAT overturns the plan entirely and orders a fresh insolvency process by September 2026. This branch would be confirmed if reports state the appellate tribunal found fundamental flaws in the approval, nullifying the current repayment plan and restarting the resolution process.

• 65%Resolves YES if, by 2026-09-15 (UTC), at least two independent sources of the kind already tracked on this narrative report that nclat upholds nclt plan, minimal creditor recovery — specifically: The National Company Law Appellate Tribunal dismisses HDFC Bank's challenge, upholding the NCLT-approved repayment plan where creditors receive only ₹6.5 crore against claims of ₹22,000 crore.. Resolves NO if the horizon passes without such reporting. Resolves VOID if the underlying question stops being answerable (for example the event is cancelled or superseded).#b9fdb36e6129
• 25%Resolves YES if, by 2026-09-15 (UTC), at least two independent sources of the kind already tracked on this narrative report that nclat orders partial revision, marginally better recovery — specifically: The NCLAT finds procedural issues with the NCLT approval and orders a revised repayment plan that increases creditor recovery to 5-10% but remains a massive haircut.. Resolves NO if the horizon passes without such reporting. Resolves VOID if the underlying question stops being answerable (for example the event is cancelled or superseded).#293f017d541d
• 10%Resolves YES if, by 2026-09-15 (UTC), at least two independent sources of the kind already tracked on this narrative report that nclat overturns plan, orders fresh insolvency process — specifically: The NCLAT finds fundamental flaws in the NCLT approval and overturns the repayment plan entirely, ordering a fresh insolvency resolution process with different parameters.. Resolves NO if the horizon passes without such reporting. Resolves VOID if the underlying question stops being answerable (for example the event is cancelled or superseded).#af489f428960

The outcome is heavily skewed toward finality over equitable recovery. The forces measured by the engine overwhelmingly favor the status quo—a settlement offering creditors less than one percent of what they are owed.

Watch for either a shift in legal grounds, if HDFC Bank's challenge cites a fundamental violation of the Insolvency and Bankruptcy Code, or evidence that the original creditor vote was not properly informed. Either development could alter the probabilities, making a better recovery or a process reset more likely than the current 25% and 10% paths suggest.