Supreme Housing exits insolvency after reaching settlement with top lenders
Canara Bank and ICICI Bank had taken Supreme Housing to insolvency court after the realtor defaulted on dues of more than ₹ 800 crore. After hearing the matter at length, a bench led by justices Ashish Kalia and Sanjeev Dutta reserved the order on 1 July. The order was in response to a petition filed by resolution professional Prashant Jain on 21 March, seeking a withdrawal of the insolvency application against the real estate company.
The withdrawal application was filed under Section 12A of the Insolvency and Bankruptcy Code, 2016, after ICICI Bank reached a settlement with the company. Section 12A permits the withdrawal of CIRP proceedings, provided it has the approval of 90% of the committee of creditors (CoC) and the NCLT is assured that the interests of all stakeholders are protected.
This makes Supreme Housing one of very few companies that have had insolvency proceedings withdrawn, with the process having become increasingly complex. Section 12A requires a 90% majority vote, which legal experts said is difficult to achieve in many cases. They added that even if some creditors reach an agreement with the company, other creditors can initiate bankruptcy proceedings under the IBC, potentially complicating or delaying the company's exit from insolvency.
Supreme Housing's financial troubles began with a ₹ 390-crore term loan, sanctioned in 2014, which subsequently became a non-performing asset. In November 2022 the company was admitted into insolvency by the NCLT following Canara Bank's petition under Section 7. However, the proceedings were withdrawn after the parties agreed to a one-time settlement, with an option to revive the insolvency in case of default.
Despite several proposals from Supreme Housing, most offers of a one-tie settlement were not supported by credible funding commitments, leading to continued defaults and a re-initiation of insolvency proceedings by Canara Bank.
While Canara Bank's proceedings were pending, ICICI Bank also moved the NCLT under Section 7 of the IBC in January 2024, seeking admission of its claim against Supreme Housing over the same ₹ 390-crore loan.
The NCLT's Mumbai Bench admitted the plea, prompting the company's suspended board to approach the National Company Law Appellate Tribunal (NCLAT). The promoters argued they were in settlement negotiations with ICICI Bank, leading the NCLAT to initially grant a temporary stay. However, the appellate tribunal later vacated the stay, citing a lack of binding settlement terms and continued non-compliance.
With both ICICI Bank and Canara Bank pursuing action under IBC, the insolvency proceedings were revived in February 2025. Canara Bank filed claims amounting to over ₹ 580 crore with the resolution professional. Supreme Housing subsequently reached a settlement with ICICI Bank and filed a Section 12A application before the NCLT.
However, Canara Bank objected to the withdrawal and filed an intervention application, saying it remained a substantial creditor with unresolved claims exceeding ₹ 580 crore.
In June, Supreme Housing approached Canara Bank with a fresh settlement proposal, backed by Authum Investments and Infrastructure Limited. The offer included a full and final settlement of ₹ 460 crore, with ₹ 23 crore payable upfront and the remaining to be cleared within 90 days of Supreme Housing's exit from insolvency. On 16 June, Canara Bank approved the proposal under specific conditions, clearing the way for a unified settlement with all major lenders.
Taking into account the settlement with both ICICI Bank and Canara Bank, and considering the consent of the creditors involved, the NCLT approved Supreme Housing's Section 12A application.
Niyati Merchant, associate partner at MDP Legal represented Canara Bank while Rohan Agarwal and Sujit Lahoti appeared for Supreme Housing.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Mint
an hour ago
- Mint
Former Standard Chartered Research CEO moves for insolvency over unpaid dues, wrongful dismissal
Amit Bansal, the recently terminated chief executive officer of Standard Chartered Research and Technology India Pvt. Ltd (SCRTIPL—known as Solv), has approached the National Company Law Tribunal (NCLT) seeking insolvency proceedings against his former employer. Bansal has alleged non-payment of dues and wrongful termination in his filing under Section 9 of the Insolvency and Bankruptcy Code (IBC), 2016. He has sought ₹1.05 crore in unpaid and statutory dues—including ₹12.4 lakh in salary up to his termination date, three months' notice period pay of ₹54.9 lakh, and encashment of 45 days' unavailed leave of ₹38 lakh. Bansal has also sought compensation for 832,330.5 vested employee stock options (ESOPs), valued at ₹24.9 crore, alleging these were lawfully earned but 'wrongfully denied or forfeited" by Solv. His total claim aggregates to ₹25.95 crore. Bansal insisted that Solv acknowledged liability for due salary, notice, and leave encashment in correspondence but failed to pay, while 'wrongfully" denying his vested ESOPs without justification. The NCLT will assess whether Bansal's claims are recognized as 'operational debt" under the IBC and if any default on payment justifies insolvency proceedings. Admission of the case could subject Solv to a court-supervised resolution, potentially altering management or asset ownership. Bansal, in his petition before the Bengaluru bench of the NCLT, said that after taking charge as CEO in April 2021 he led Solv's rise as a prominent marketplace for micro, small and medium enterprises. Solv reached nearly $400 million in valuation and $650 million in gross merchandise value by early 2025, serving over 400,000 small businesses, he added. On 19 February 2025, Standard Chartered Research dismissed Bansal. In his petition, Bansal alleged the dismissal was abrupt, without due process, and retaliatory as he had raised concerns over corporate governance issues and his exclusion from Solv's merger talks with Jumbotail Technologies. As per Bansal's petition, the termination letter specified payment of salary, notice period dues, and leave encashment. These, he alleged, remain unpaid. Bansal filed his petition on 29 July. During the hearing on 1 August, Standard Chartered Research sought time to file its response to the petition. The court has not year notified the next date of hearing. Claims before NCLT The NCLT's role in adjudicating such disputes goes beyond employment claims, said legal observers. 'The NCLT's jurisdiction includes examining whether removals of key managerial personnel are simply contractual or rise to the level of shareholder oppression or poor governance," said Shri Venkatesh, founding partner, SKV Law Offices. He pointed to high-profile precedents: while the tribunal upheld Tata Sons' right to dismiss Cyrus Mistry, in the McDonald's–Vikram Bakshi dispute, the NCLT sided with Bakshi, finding executive removal had crossed into shareholder oppression. Amir Bavani, founder of AB Legal, Hyderabad, said senior-level disputes at multinational corporations are always highly charged given the nature of the parties involved. 'Proceedings initiated by top management can change the complexion of the dispute. If the operational creditor succeeds, it could pave the way for other instances where insolvency threats prompt multinationals to proactively resolve such disputes. However, such petitions can easily be settled by compensating the personnel as per the employment contract," Bavani said. Under Section 9 of the IBC, operational creditors are entitled to seek insolvency proceedings if companies neglect undisputed dues after a formal demand notice. Bansal, who is represented by Waseem Pangarkar, partner at MZM Legal, asserted that all such procedures had been followed. Registered in India in 2019 as part of Standard Chartered's digital innovation push, SCRTIPL, under the Solv brand, became a significant business-to-business (B2B) platform for MSMEs, incubated by SC Ventures. Earlier this year, Jumbotail, a leading e-commerce and retail platform, acquired Solv India—operated by SCRTIPL—after receiving clearance from the Competition Commission of India. Jumbotail now owns 100% of this entity, fully integrating Solv's offerings with its nationwide network of neighbourhood stores and business clients. In July, Jumbotail raised $120 million in a Series D fundraising round led by SC Ventures, the investment arm of Standard Chartered Plc. 'As the matter is sub judice, SCRTIPL (Solv) will refrain from commenting at this stage. Our position has been clearly articulated in our submissions to the court, and we have full faith in the fairness and integrity of the judicial process," Solv said in response to Mint's queries. Jumbotail and Amit Bansal did not respond to Mint's requests for comment.
News18
14 hours ago
- News18
BluSmart Enters Insolvency Over Rs 1.28 Crore Default; Resolution May Take Six Months
Last Updated: The NCLT in Ahmedabad has admitted Catalyst Trusteeship's petition against BluSmart Mobility for defaulting on dues of Rs 1.28 crore, initiating CIRP. The National Company Law Tribunal (NCLT) in Ahmedabad has admitted a petition filed by Catalyst Trusteeship against BluSmart Mobility for defaulting on dues worth approximately Rs 1.28 crore. The order marks the initiation of the corporate insolvency resolution process (CIRP) against the electric cab operator, with NPV Insolvency Professionals Private Ltd appointed as the Interim Resolution Professional (IRP). BluSmart, once regarded as a rising player in India's electric vehicle (EV) ride-hailing space, has been under increasing financial strain in recent months. Despite raising venture capital and expanding its EV fleet, the company has struggled to manage cash flows and meet operating expenses, leading to the current insolvency proceedings. The CIRP, in the best-case scenario, is expected to take 180 days, provided there are no legal complications such as litigation from promoters. 'If things go smoothly, resolution could come within six months," said a person familiar with the process. The situation worsens with BluSmart's key backer, Gensol Engineering, and its subsidiary Gensol EV Lease, also facing insolvency action. The NCLT recently admitted separate petitions filed by the Indian Renewable Energy Development Agency (Ireda), citing defaults of Rs 510.10 crore by Gensol Engineering and Rs 218.95 crore by Gensol EV Lease. According to the shared court order copy, the tribunal said that Gensol had failed to maintain financial discipline, citing defaults on 31 March, 19 April, and 12 May 2025. IREDA in the filing said that it filed an application on May 14 under Section 7 of Insolvency and Bankruptcy code, 2016 against Gensol Engineering Limited for a defaulted amount of Rs 510,00,52,672. view comments Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
Economic Times
14 hours ago
- Economic Times
Times Black ICICI Credit Card: Features, fees, lounge access, and eligibility explained
ET Online Times Black ICICI Credit Card This premium credit card is tailored for Ultra-High Net Worth Individuals (UHNIs). Launched by ICICI Bank in partnership with Times Internet Ltd and Visa, the Times Black ICICI Bank Credit Card offers unlimited international airport lounge access, milestone rewards and reward points on spends, and host of privileges. According to a Times Internet press release, 'Cardholders enjoy unlimited international and domestic lounge access, a dedicated lifestyle management service, visa-at-home assistance, and chauffeur driven airport transfers, making every journey seamless.' Fees and other charges The Times Black ICICI Bank Credit Card comes with a premium joining fee of Rs 20,000 plus GST. The annual renewal fee is also Rs 20,000 plus GST. However, cardholders who spend Rs 25 lakh or more in a year can enjoy a waiver on the annual fee for the following year. Benefits of Times Black ICICI Bank Credit Card Cardholders will get exclusive access to the Quorum Club and lifestyle management services from CribLife with 6 exclusive offerings. Unlimited complimentary lounge access at domestic airports along with air accident insurance will get an annual membership of Zomato Gold for exclusive dining privileges with a gift card for a luxury stay from EaseMyTrip and a one-night luxury stay from Ayatana benefits include travel visa assistance through Atlys and OneVasco, luxury airport transfers, and access to Klook's exclusive international experiences and activities. Cardholders can also enjoy zero cancellation charges on domestic flight and hotel bookings (up to Rs 12,000) and a 1% fuel surcharge waiver at all fuel stations across India. Important FAQs from ICICI Bank website How long are milestone benefits available to eligible cardholders? For Times Black ICICI Bank Credit Cardholders, milestone benefits can be accessed through the Times Black app for a period of six months, starting from the date the eligible cardholder is notified about the respective milestone by ICICI Bank. How to avail complimentary International Airport lounge access? Cardholders can get unlimited complimentary access to international airport lounges with Times Black ICICI Bank Credit Card. Also complimentary Priority Pass Membership for both the primary cardholder and Plus cardholder with Times Black ICICI Bank Credit CardTo avail the facility, cardholders should present their priority pass membership card at the participating international lounges. How are ICICI Bank reward points earned? Are there any limits or exclusions? You can earn 2% ICICI Bank reward points on all eligible domestic transactions. However, there is a cap of 5,000 reward points per statement cycle for the following categories: Utility payments Insurance premium payments Education payments Government payments (such as property tax, advance tax, fees, court payments, postal payments, etc.) Additionally, ICICI Bank reward points will not be earned on fuel transactions, rent payments or transactions converted into EMIs. The points earned on such transactions will be reversed. N.R. Narayana Murthy Founder, Infosys Watch Now Harsh Mariwala Chairman & Founder, Marico Watch Now Adar Poonawalla CEO, Serum Institute of India Watch Now Ronnie Screwvala Chairperson & Co-founder, upGrad Watch Now Puneet Dalmia Managing Director, Dalmia Bharat group Watch Now Martin Schwenk Former President & CEO, Mercedes-Benz, Thailand Watch Now Nadir Godrej Managing Director, of Godrej Industries Watch Now Manu Jain Former- Global Vice President, Xiaomi Watch Now Nithin Kamath Founder, CEO, Zerodha Watch Now Anil Agarwal Executive Chairman, Vedanta Resources Watch Now Dr. Prathap C. Reddy Founder Chairman, Apollo Hospitals Watch Now Vikram Kirloskar Former Vice Chairman, Toyota Kirloskar Motor Watch Now Kiran Mazumdar Shaw Executive Chairperson, Biocon Limited Watch Now Shashi Kiran Shetty Chairman of Allcargo Logistics, ECU Worldwide and Gati Ltd Watch Now Samir K Modi Managing Director, Modi Enterprises Watch Now R Gopalakrishnan Former Director Tata Sons, Former Vice Chairman, HUL Watch Now Sanjiv Mehta Former Chairman / CEO, Hindustan Unilever Watch Now Dr Ajai Chowdhry Co-Founder, HCL, Chairman EPIC Foundation, Author, Just Aspire Watch Now Shiv Khera Author, Business Consultant, Motivational Speaker Watch Now Nakul Anand Executive Director, ITC Limited Watch Now RS Sodhi Former MD, Amul & President, Indian Dairy Association Watch Now Anil Rai Gupta Managing Director & Chairman, Havells Watch Now Zia Mody Co-Founder & Managing Partner, AZB & Partners Watch Now Arundhati Bhattacharya Chairperson & CEO, Salesforce India Watch Now
