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NCLT declares ex-Videocon promoter Dhoot bankrupt

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In short

The insolvency court ordered the liquidation process after creditors rejected Venugopal Dhoot's 36-month settlement plan tied to a Siliguri project, citing a lack of upfront cash and reliance on contingent future approvals. As a personal guarantor for Videocon Industries' working capital and term loans, Dhoot faces vast claims after guarantees were initially invoked in February 2018. The bankruptcy order requires his estate to immediately vest in a court-appointed trustee for administration and eventual distribution.

Key points

  • Asish Narayan has been appointed as the Bankruptcy Trustee to administer and distribute D…: Asish Narayan has been appointed as the Bankruptcy Trustee to administer and distribute Dhoot's vested estate to creditors.
  • Venugopal Dhoot must submit a formal statement detailing his financial position to the tr…: Venugopal Dhoot must submit a formal statement detailing his financial position to the tribunal within seven days.
  • The appointed trustee is required to publicly invite claims and file a preliminary report…: The appointed trustee is required to publicly invite claims and file a preliminary report within a 90-day window.

Sources checked by our analysis pipeline: 1

Mumbai: The National Company Law Tribunal (NCLT), Mumbai Bench, has declared former Videocon Industries promoter and director Venugopal Nandlal Dhoot bankrupt on a petition filed by the State Bank of India (SBI) after the failure of his personal insolvency resolution process and repayment plan.

The Tribunal, comprising Judicial Member Vinay Goel and Technical Member Charanjeet Singh Gulati, passed the bankruptcy order on November 5 under the Insolvency and Bankruptcy Code (IBC).

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The NCLT noted that SBI had initiated bankruptcy proceedings against Dhoot in his capacity as a personal guarantor for credit facilities availed by Videocon Industries Limited (VIL).

According to the order, Dhoot, the erstwhile promoter and director of Videocon Industries, had executed personal guarantees in relation to various credit facilities extended to the company. The facilities included term loans, facilities relating to Videocon Telecommunications Limited and working capital loans.

The Tribunal recorded that the guarantees were invoked by the lenders in February 2018. The demand notices included claims of Rs 3,171.37 crore under the rupee…

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