Archive · 12 Sep 2026
NCLT Approves ₹7.42 Crore Plan Despite ₹560 Crore Claims
A tribunal approved a plan to settle the debts of Central Departmental Stores.
Fincare Enterprises offered to pay about ₹7.42 crore.
Central Bank of India had claimed about ₹560.57 crore.
The bank’s claims were rejected during the resolution process, according to the article.
The approved plan includes about ₹1.24 crore in immediate cash.
It also includes money that may be recovered later from shares and certain transactions.
The bank will receive ₹1.2375 crore upfront after insolvency costs are adjusted.
A monitoring committee will oversee the plan’s implementation.
After that, control of the company will move to Fincare Enterprises.
Mumbai’s NCLT approved Fincare Enterprises’ ₹7.42 crore resolution plan for Central Departmental Stores.
Central Bank of India’s claims totaling about ₹560.57 crore were rejected during the resolution process.
The plan includes ₹1.24 crore in upfront cash and recoveries from specified assets and transactions.
Central Bank of India is to receive ₹1.2375 crore upfront after adjustment of insolvency-process costs.
The insolvency process began on September 24, 2024, and the plan was approved on July 2, 2026.
- Who
- Fincare Enterprises, Central Departmental Stores Private Limited, Central Bank of India, and the Mumbai bench of the National Company Law Tribunal.
- What
- The tribunal approved a ₹7,42,77,830 resolution plan for Central Departmental Stores.
- When
- The plan was approved on July 2, 2026; the insolvency process began on September 24, 2024.
- Where
- The Mumbai bench of the National Company Law Tribunal.
- Why
- The plan was approved after the tribunal found it compliant with the Insolvency and Bankruptcy Code and related regulations.
- Approved plan value
- ₹7,42,77,830, or about ₹7.42 crore
- Resolution applicant
- Fincare Enterprises
- Financial creditor
- Central Bank of India
- Admitted claims
- About ₹560.57 crore, including ₹381.62 crore in corporate guarantee claims and ₹178.94 crore in interest and penalties
- Upfront payment
- ₹1.24 crore; Central Bank of India is to receive ₹1.2375 crore after adjustment of CIRP costs
- Fair value
- ₹20.80 crore
- Liquidation value
- ₹16.37 crore
- Monitoring period
- Recoveries from shares in Niyman Mall Management and avoidance transactions will be monitored under the plan