HDFC Bank may challenge tribunal decision on Subhash Chandra repayment
HDFC Bank is thinking about challenging a recent tribunal decision that lets Essel Group founder Subhash Chandra pay back just ₹6.25 crore out of approximately ₹22,006.57 crore in admitted claims.
That means creditors (including HDFC Bank) would get back about 0.028% of what they are owed, taking a nearly total loss.
HDFC Bank holds 3.2% admitted claim
After merging with HDFC Limited, the bank now holds an admitted claim of 3.2% of the claims and has already voted against this plan.
They have raised red flags about how little money would actually be recovered and even questioned whether everyone who voted was legitimate or connected to Chandra.
The case started from a loan guarantee gone bad, and while the tribunal's approval came after some internal disagreement, an official order is still pending.