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NCLT To Re-Hear Repayment Plan In Subhash Chandra Case, Says 2:1 Majority Ruling Not Achieved
NDTV Profit 3 hrs ago·31 Aug 2026, 3:52 pm
The National Company Law Tribunal (NCLT) has decided to re-hear the repayment plan for Subhash Chandra's Essar Group. The tribunal ruled that the previous 2:1 majority vote was not valid, meaning the plan to pay creditors Rs 6.25 crore and Rs 25 lakh towards costs was rejected. This setback means the resolution process for the group's debt will continue, and a fresh plan must be submitted to the court.
This development is significant for investors as it delays the final resolution of the group's massive debt. With admitted claims exceeding Rs 22,000 crore, the rejection of the plan casts doubt on the speed of recovery for creditors. The outcome will depend on the fresh plan presented to the tribunal.
Investors should watch for the new submission date and the details of the revised plan. The success of the new proposal will determine if the group can finally exit insolvency and if creditors will receive any repayment.
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