Lenders oppose Subhash Chandra haircut, challenge Rs 6.25 crore plan in Essel case

Several lenders, including public sector financial institutions, are set to challenge before an appellate tribunal the National Company Law Tribunal’s (NCLT’s) approval of a repayment plan submitted by Essel Group founder Subhash Chandra that proposes to pay just ₹6.25 crore against admitted claims of about ₹22,006.57 crore.

Canara Bank, Union Bank of India (UK) and LIC Housing Finance (LICHFL) have said they will appeal against the order, before the National Company Law Appellate Tribunal (NCLAT), which implies an extremely low recovery for creditors.