India's insolvency tribunal has allowed Essel Group chair Subhash Chandra to settle personal guarantee claims for Rs65mn ($683,000), a 99.9 per cent haircut on the Rs220bn his companies defaulted on. Ten banks backed the proposal, while dissenters HDFC Bank, LIC Housing Finance, and Canara Bank opposed it but held under 20 per cent vote share. The tribunal noted Chandra's estate "comprises very few assets with negligible value," though his declared net worth fell from Rs459bn in 2017 to Rs320mn in 2024. A higher tribunal will hear an urgent appeal by dissenting lenders today.

Chandra, once a powerful businessman with interests spanning India's largest listed TV network Zee, packaging, infrastructure, and direct-to-home television, also served in the Rajya Sabha as an independent backed by Prime Minister Narendra Modi's Bharatiya Janata Party. His fortunes unravelled after the 2018 IL&FS collapse triggered a liquidity crisis.

The ruling sparked a public feud. Chandra released videos accusing Network18, owned by Mukesh Ambani's Reliance Industries, of misrepresenting claims at Rs220bn versus his stated Rs39.9bn. He also accused Ambani of trying to acquire Zee on terms unfavourable to minority shareholders. Reliance Industries denied allegations, stating it "noted with dismay the baseless remarks."