The NCLT, New Delhi (Special Bench) vide order dated 25.08.2026 in Indiabulls Housing Finance Limited vs. Dr. Subash Chandra1 approved the repayment plan of INR 6.50 Crores submitted by the Personal Guarantor as against admitted claims of approximately INR 22,006.57 Crores.
It was held that once the repayment plan is approved under Section 114, its binding effect is governed by Section 115 of the Insolvency and Bankruptcy Code, 2016. The Adjudicating Authority cannot make the plan binding only on the creditors who voted in its favour while allowing dissenting creditors to independently pursue recovery of their full original debt. Further, the court observed that Section 115 does not contemplate selective application of an approved repayment plan. Accordingly, the approved plan is binding on all creditors covered by it, whether assenting or dissenting. Granting dissenting creditors liberty to recover the full debt outside the plan would defeat the statutory scheme and result in unequal treatment of creditors.
Footnote
1. CP (IB) No. 97 of 2022
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