Mumbai: The National Company Law Tribunal (NCLT) has declared former Videocon Industries promoter Venugopal Nandlal Dhoot bankrupt after admitting a petition filed by the State Bank of India (SBI) over outstanding dues of ₹12,668 crore.

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The Mumbai bench of the tribunal passed the order on Thursday (November 5), under Section 126 of the Insolvency and Bankruptcy Code (IBC), 2016. The bankruptcy proceedings relate to personal guarantees Dhoot had furnished for loans extended to Videocon Industries and Videocon Telecommunications.

The tribunal appointed Asish Narayan as the bankruptcy trustee and directed that Dhoot's estate vest in him immediately for administration and distribution among creditors.

SBI's petition cited outstanding liabilities of ₹12,668.06 crore, including interest and penalties, as of September 30, 2026.

Why was Dhoot declared bankrupt?

The proceedings stem from personal guarantees Dhoot provided to secure term loans and working capital facilities extended by SBI and its erstwhile associate banks to Videocon group companies.

After the group defaulted on loan repayments, the lenders invoked Dhoot's personal guarantees in February 2018.

Videocon Industries entered corporate insolvency resolution proceedings in June 2018. The process was later consolidated with proceedings involving 12 other Videocon group companies in August 2019.

SBI separately pursued Dhoot as a personal guarantor. On April 8, 2026, the NCLT admitted the bank's application and initiated personal insolvency resolution proceedings against him. At that stage, the tribunal recorded defaults of ₹6,157.57 crore.
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Why was Dhoot's ₹600-crore repayment offer rejected?

During the personal insolvency proceedings, Dhoot proposed repaying creditors ₹600 crore over 36 months. The money was expected to come from a proposed real estate development project in Siliguri.

However, the resolution professional found that the proposal had not been prepared in consultation with him, as required under the IBC.

The repayment plan also depended on future construction, regulatory approvals and projected cash flows that could not be verified. It did not offer any upfront payment.

Creditors declined to approve the proposal. On July 17, the NCLT rejected the repayment plan and terminated Dhoot's personal insolvency resolution process, allowing creditors to initiate bankruptcy proceedings.

SBI subsequently approached the tribunal with its bankruptcy petition, claiming dues of ₹12,668.06 crore.
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What happens next?

With the bankruptcy petition admitted, Dhoot's estate will be administered by the appointed trustee for distribution among creditors.

The tribunal has directed Dhoot to submit details of his financial position to the trustee within seven days. The trustee must invite claims from creditors and submit a preliminary report within 90 days.

The NCLT held that SBI's petition fulfilled the statutory requirements and was filed within the prescribed three-month period.