Sold house, personal assets, now living on rental income: Zee founder Subhash Chandra reveals his finances
Troubled Zee and Essel Group founder Subhash Chandra has claimed that he sold family assets, including their house to repay loans, and has “the last ₹6.5 crore left”, which he will use to repay creditors according to the NCLT’s approved repayment plan.
He added that he has rented out a “small residential property” and running expenses with that income. The National Company Law Tribunal’s (NCLT) on 25 August approved Chandra’s repayment plan — ₹6.25 crore to be paid to creditors and ₹25 lakh towards insolvency-process costs, against admitted claims of around ₹22,006.57 crore.
“We sold our family’s assets, we sold our assets, we almost sold (the) Company Zee, we did not keep anything, we even sold our house, but we paid everyone’s money,” he stated in a video message, according to India Today.
‘Running my expenses with rent income’, claims Chandra
The Economic Times quoted him saying that he is now living on rental income. “Today I’m talking in a very simple way. I am not talking about a person who has lost everything. The last ₹6.5 crore I have left with me, I will have to pay according to the plan. I have a small residential house, which I have given on rent, and I am running my expenses with that income. I have no regrets. I will earn again. I am a pioneer. I know how to do good and new things. I will continue to do so,” Chandra reportedly said.
On his plans for the future, the India Today report added that Chandra is confident he can rebuild his wealth. “I will earn again. I am a pioneer. I know how to build businesses and intend to start again,” he reportedly said, adding that he plans to work on investments with a friend in Switzerland and is considering borrowing ₹2-4 crore from family to invest in startups and other ventures.
“I have planned to meet him in the next 1-2 weeks. I will see his investment in India and other places so that I can re-establish myself,” a report by The Week quoted him as saying.
Lenders plan to challenge NCLT nod to ₹6.25 crore repayment plan
Meanwhile, lenders Canara Bank, Union Bank of India (UK) and LIC Housing Finance on 29 August stated that they will challenge the NCLT’s approval order in a move that is sure to escalate the legal battle over the settlement of claims arising from his personal guarantees, ANI reported today.
Canara Bank, which has 1.60% voting share, said it had voted against the repayment plan and will file an appeal before the National Company Law Appellate Tribunal (NCLAT). On X (formerly Twitter), the bank said it had also sought a forensic audit, but the request could not be allowed because of its minority voting share.
Union Bank of India (UK) also said it had rejected the plan and would immediately challenge the NCLT order before the NCLAT; while LIC Housing Finance said it would file an appeal along with other public financial institutions. The lenders said the plan was approved because other financial creditors holding 80.81% of the voting share backed it, the report added.
Subhash Chandra’s repayment plan: Latest update
The NCLT on 25 August approved Chandra’s significantly lower proposal against admitted claims over ₹22,000 crore. The matter relates to proceedings where the business mogul reportedly gave personal guarantees for borrowings raised by Essel Group-linked companies. The plan was approved despite objections from several lenders, with the tribunal holding that the required majority had supported it.
Chandra in a public statement on Thursday, 27 August, rejected the portrayal of the ₹22,000-crore figure as money personally borrowed by him, saying it represents claims arising from guarantees he had provided for corporate borrowings.
He has argued that the claims of lenders opposing the repayment plan amount to around ₹3,992 crore, rather than ₹22,000 crore, and said the group remains committed to settling outstanding obligations.
(With inputs from Agencies)
