New Delhi: The Mumbai bench of the National Company Law Tribunal (NCLT) has declared former Videocon Industries promoter and director Venugopal Nandlal Dhoot bankrupt after admitting a petition filed by the State Bank of India (SBI) over outstanding dues of Rs12,668 crore.
The tribunal also appointed Asish Narayan as the Bankruptcy Trustee to oversee the proceedings against Dhoot, who had provided personal guarantees for credit facilities availed by Videocon Industries from SBI and its erstwhile associate banks.
"Venugopal Nandlal Dhoot, the Personal Guarantor herein, is declared as Bankrupt," the two-member NCLT bench said in an order passed on Thursday.
The tribunal directed the Bankruptcy Trustee to issue a public notice inviting claims from Dhoot's creditors. It also ordered that his estate, including his properties and other assets, be vested in the trustee for administration and distribution among creditors in accordance with the Insolvency and Bankruptcy Code (IBC).
Dhoot has been directed to submit his statement of financial position to the Bankruptcy Trustee within seven days of the commencement of the bankruptcy proceedings.
The trustee must also submit a preliminary report to the tribunal and the Committee of Creditors (CoC) within 90 days, followed by quarterly progress reports.
The bench comprised Member (Judicial) Vinay Goel and Member (Technical) Charanjeet Singh Gulati. It said the bankruptcy proceedings would remain in force until Dhoot is discharged under Section 138 of the Insolvency and Bankruptcy Code.
The case relates to credit facilities extended to Videocon Industries Ltd (VIL) by SBI and its erstwhile associate banks, including State Bank of Hyderabad, State Bank of Mysore, State Bank of Travancore, State Bank of Bikaner and Jaipur, and State Bank of Patiala. Videocon Telecommunications Ltd (VTL) had also availed a portion of the facilities as a co-obligor.
According to SBI's petition, the total outstanding default, including interest and penalties, stood at Rs 12,668.06 crore as of September 30, 2026.
The amount comprised Rs 9,322.10 crore under the rupee term loan facility, Rs1,437.76 crore under the VTL facility and Rs1,908.19 crore under the working capital facility.
Dhoot had provided personal guarantees for the loans extended to Videocon Industries. SBI invoked these guarantees through demand notices issued in February 2018 following the default.
The NCLT initiated personal insolvency resolution proceedings against Dhoot on April 8, 2026.
During the process, Dhoot submitted a repayment proposal on June 16, 2026, offering to repay Rs 600 crore over 36 months through a proposed development project in Siliguri.
However, the resolution professional found that the proposal depended on future project approvals and cash flows and did not provide for any upfront payment. The professional also noted that the repayment plan had not been prepared in consultation with him, as required under Section 105 of the Insolvency and Bankruptcy Code.
On July 17, the tribunal rejected the repayment plan under Section 114 and terminated the personal insolvency resolution process.
Following the rejection, SBI approached the NCLT with a bankruptcy petition on September 24, within the prescribed three-month period under Section 121(2) of the Code.
While admitting the petition, the tribunal observed that SBI had fulfilled the requirements prescribed under Section 123 of the Insolvency and Bankruptcy Code.
The order also recorded that there was no appearance on behalf of Dhoot during the proceedings. (with inputs from media organisations)