Overview
- The five-member NCLT bench has stayed implementation of Subhash Chandra’s Section 95 repayment proposal and barred him from selling or encumbering personal assets while the case is pending.
- The tribunal formally asked the Central Bureau of Investigation for a written response within four weeks because the agency’s FIR over a ₹1,322 crore alleged loan loss may change how creditor claims and asset traces are treated.
- Chandra’s plan offers about ₹6.25 crore plus ₹25 lakh in costs against creditor claims that total over ₹22,006 crore and has been challenged by major lenders for undervaluing assets and for disputed related-party voting.
- LIC Housing Finance filed the complaint that led to the CBI probe and is among the creditors opposing the plan; Chandra’s legal team has objected to making the CBI a formal party to the insolvency case.
- A special five-member NCLT bench was formed after earlier split orders and will reconsider the matter once the CBI files its response, with the next steps set to hinge on whether investigative findings affect liability and recoverable assets.