# NCLT stays Subhash Chandra insolvency repayment plan > Live situation record from CLSTR: https://clstr.news/situations/subhash-chandra-personal-insolvency-proceedings > Updated: 2026-08-31T23:31:16.000Z. Sources: 40. Developments: 3. The National Company Law Tribunal (NCLT) has stayed the implementation of the personal insolvency repayment plan for Essel Group founder Subhash Chandra. This follows an August 25 order that had approved a settlement involving Chandra paying approximately Rs 6.25 crore to resolve admitted creditor claims exceeding Rs 22,000 crore, a haircut of nearly 99.97 percent. A five-member bench, led by President Justice (retd) Anupinder Singh Grewal, issued the stay after determining that the previous ruling lacked a clear majority opinion due to conflicting views among the original three members. The tribunal has issued notices to all involved parties and decided to hear the matter afresh. In addition to halting the repayment plan, the NCLT has restrained Chandra, acting as a guarantor, from selling, transferring, or otherwise alienating his properties, whether directly or indirectly, while the proceedings remain pending. The case stems from personal guarantees provided by Chandra for loans taken by companies affiliated with the Essel Group. Major lenders, including LIC Housing Finance, Canara Bank, Union Bank of India, and HDFC Bank, continue to oppose the settlement due to the extremely low recovery rate. The matter is also being heard by the National Company Law Appellate Tribunal (NCLAT). ## Claims - A five-member NCLT bench stayed the August 25 order approving Subhash Chandra’s repayment plan. (corroborated by 10 sources) - The tribunal barred Subhash Chandra from selling, transferring, or encumbering his properties during the proceedings. (corroborated by 10 sources) - The five-member bench stayed the previous order because no clear majority opinion had emerged among the members. (corroborated by 10 sources) - The disputed repayment plan proposed a payment of approximately Rs 6.25 crore against admitted claims exceeding Rs 22,000 crore. (corroborated by 10 sources) - Subhash Chandra stated he was not a direct borrower but had provided personal guarantees for loans taken by Essel Group entities. (corroborated by 3 sources) - Major lenders, including HDFC Bank, LIC Housing Finance, Canara Bank, and Union Bank of India, opposed the repayment plan. (corroborated by 3 sources) ## Timeline ### 2026-08-31: Subhash Chandra: NCLT stays Rs 6.25-crore repayment plan The NCLT has stayed a repayment plan for Subhash Chandra that offered Rs 6.25 crore against Rs 22,000 crore in claims. The tribunal also barred Chandra from selling his properties during the rehearing. 22 sources. https://clstr.news/cluster/subhash-chandra-insolvency-case-referred-to-nclt-president ### 2026-08-29: Union Bank to challenge Subhash Chandra insolvency plan approval Union Bank of India will appeal the NCLT's approval of Subhash Chandra's insolvency resolution plan, citing significant debt haircuts and opposition from public sector lenders. 7 sources. https://clstr.news/cluster/union-bank-to-challenge-subhash-chandra-insolvency-plan-approval ### 2026-08-27: Subhash Chandra's insolvency plan approved by NCLT with 99.97% haircut The NCLT approved a repayment plan for Subhash Chandra to settle Rs 22,006 crore in claims with a Rs 6.5 crore payout, a 99.97% haircut that has prompted potential appeals from HDFC Bank. 21 sources. https://clstr.news/cluster/subhash-chandras-insolvency-plan-approved-by-nclt --- Cite as: NCLT stays Subhash Chandra insolvency repayment plan. CLSTR, https://clstr.news/situations/subhash-chandra-personal-insolvency-proceedings