Subhash Chandra Falsely Inflated His Net Worth to Take Loans: LIC Files Complaint with CBI

In 2018, Chandra submitted a ‘net worth certificate’ stating that his net worth was Rs 59,113 crore. In his insolvency case, he claimed that his net worth was 'never Rs 50,000 crore.'

Arvind Gunasekar

In 2018, Chandra submitted a ‘net worth certificate’ stating that his net worth was Rs 59,113 crore. In his insolvency case, he claimed that his net worth was 'never Rs 50,000 crore.'

subhash chandra falsely inflated his net worth to take loans lic files complaint with cbi

Shubhas Chandra, in the background is a PTI image of the CBI headquarters. Photo: Wikipedia/CC BY-SA 4.0.

New Delhi: The Central Bureau of Investigation has registered a case against Essel Group Chairman Subhash Chandra and three others for allegedly defrauding LIC Housing Finance Ltd of over Rs 1,322 crore between 2018 and 2026.

Based on the complaint of LICHFL, CBI has also named Pankaj Suroliya, Amish Pandya and Rajeev Dholakia as accused in the case.

LICHFL in its complaint has alleged that Subhash Chandra submitted a ‘net worth certificate’ stating that his net worth was Rs 59,113 crore in 2018 to avail himself of loan facilities for M/s Vasant Sagar Properties Pvt Ltd and other companies.

Based on the said certificate, LICHFL had provided credit facilities to three companies associated with Subhash Chandra, who is a former Rajya Sabha MP, backed by the Bharatiya Janata Party.

Essel Group is the media conglomerate that owns Zee Media. Chandra is the chairman emeritus of Zee Entertainment.

Taking exception to Chandra's submission in the insolvency proceedings that his net worth was never Rs 50,000 crore as stated in the ‘net worth certificates’, the PSU has filed a criminal complaint alleging charges of cheating, criminal breach of trust and conspiracy to cheat against Chandra.

“In the course of the subsequent proceedings under the Insolvency & Bankruptcy Code, 2016 for the personal insolvency resolution of Shri Subhash Chandra he categorically denied having the Net Worth as stated in the- Net Worth Certificates, which he had submitted to LiCHFL to cause approval and disbursal of the loan detailed above," LIC has stated in its complaint.

"In the course of the proceedings. he has stated that his net worth in 2024 is Rs 31.79 Crores and stated that, even in 201 7-18, he did not have the net worth of more than Rs 40,000 crores," the complaint added.

This is not the only avenue through which Chandra's insolvency case has made news. Chandra has opposed the formation of a five-member bench by the NCLT to decide his personal insolvency case.

An earlier NCLT order by a single member, who had accepted Chandra’s plea to settle the personal guarantee to the loans taken by his group company by paying a measly Rs 6.5 crore out of the total admitted liability of over Rs 22,000 crore, had led to a massive uproar.

This article went live on September fifth, two thousand twenty six, at nineteen minutes past one in the afternoon.

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