The insolvency tribunal approved a repayment plan under which Chandra will pay just Rs 6.5 crore to settle admitted creditor claims of about Rs 22,006.57 crore in his personal insolvency resolution process, translating into a haircut of nearly 99.97 per cent for lenders.
NCLT member (judicial) Nilesh Sharma, ruling as a third member, on Tuesday approved the plan under Section 114 of the Insolvency and Bankruptcy Code (IBC), rejecting objections by lenders that the recovery was too meagre to merit approval.
Congress general secretary Jairam Ramesh said that in finance terminology, “when creditors are owed money and the debtor repays only part of it, the difference expressed as a percentage is called a haircut”.
He said the NCLT approving…