Zee Group founder Subhash Chandra has approached the National Company Law Appellate Tribunal (NCLAT) challenging an NCLT order that restrained him from selling or transferring his assets in connection with his personal insolvency proceedings.
A three-member NCLAT bench took up the appeal and directed Chandra to provide copies of the petition to creditors who had participated in the NCLT proceedings. The matter has been listed for hearing on September 29.
The insolvency case stems from proceedings initiated by Indiabulls Housing Finance under Section 95 of the Insolvency and Bankruptcy Code. Chandra had proposed paying Rs 6.25 crore against admitted creditor claims of Rs 22,006.57 crore, with another Rs 25 lakh allocated towards insolvency process costs.
The repayment proposal received differing opinions at the NCLT. One member supported approval for creditors who backed the plan, while another rejected it over alleged procedural deficiencies. A third member subsequently favoured the plan and held that it would bind all creditors, including those who opposed it, subject to certain exclusions.
The matter was later referred to a five-member NCLT bench after the original members failed to reach a majority view. The larger bench restrained Chandra from alienating his assets and stayed the earlier order approving the Rs 6.25-crore repayment proposal.
Chandra has now challenged that decision before the NCLAT, with the appellate tribunal set to consider the matter on September 29.
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