‘Complete mockery’: Congress slams Subhash Chandra’s 0.028% NCLT settlement plan; social media reacts

Congress has lambasted the repayment plan proposed by Essel Group chairman Subhash Chandra, describing it as a "complete mockery" of the Insolvency and Bankruptcy Code. Creditors could only recover a meager 0.028% of their claimed amount, leaving them with a staggering 99.97% loss. The plan, which allocated ₹6.25 crore among eligible creditors, was justified by the National Company Law Tribunal (NCLT) on the grounds that rejecting it could result in even smaller recoveries for Chandra in the event of his bankruptcy, given his personal assets were worth less than the settlement offer.

Critics, including Congress leader Jairam Ramesh, argued that the decision was far more than a haircut - it was a "mundan", a term denoting a thorough shaving of the head. Social media users expressed outrage, comparing the treatment of creditors to the harsh conditions faced by ordinary borrowers, and questioning why farmers, who also struggle with debt, were not similarly treated.