SBI’s ₹12,668 Crore Videocon Guarantee Claim: NCLT Orders Dhoot Bankruptcy

What the reported NCLT decision establishes

On 5 November 2026, the Mumbai bench of the National Company Law Tribunal issued a bankruptcy order against Venugopal Nandlal Dhoot, a former Videocon Industries promoter, on a petition brought by State Bank of India (SBI), according to reports published on 6 November by Moneycontrol and The Indian Express. The decision marks a new stage in litigation over personal guarantees for corporate borrowing. It does not itself mean that SBI or any other creditor has recovered the amount claimed.

Moneycontrol reports that the tribunal found the SBI petition met the requirements of Sections 123 and 126 of the Insolvency and Bankruptcy Code, 2016. The tribunal reportedly appointed Asish Narayan as bankruptcy trustee and directed that the bankrupt estate vest in the trustee for administration and distribution in accordance with the applicable process. The original signed tribunal order was not independently retrieved for this report; procedural details below are attributed to the published accounts.

How the SBI claim and the rejected proposal differ

SBI reportedly stated a claim of ₹12,668.06 crore, including interest and penalties, as at 30 September 2026. This is a creditor claim figure, not a judicial certification of cash realised or a forecast of ultimate recovery. The amount potentially available to creditors will depend on subsequent administration of the bankruptcy estate, admissible claims, available assets, costs, priorities and proceedings.

The reported bankruptcy follows rejection of a proposed ₹600 crore repayment plan over 36 months. The proposal depended substantially on a proposed real-estate development at Siliguri. Reports say the resolution professional raised concerns about uncertain future approvals and cash flows, and creditors did not accept the plan. A rejected proposal is not a payment or settlement.

Background of the personal guarantees

The litigation concerns guarantees that Dhoot provided in connection with credit facilities made available to Videocon Industries and Videocon Telecommunications during 2010–2012. Those facilities involved SBI and its former associate banks, which later merged into SBI. The corporate group entered insolvency proceedings separately; the personal-guarantor route concerns enforcement against the guarantor and should not be confused with the company-level resolution process.

Moneycontrol says a personal insolvency process commenced in April 2026, the proposed repayment plan was rejected in July, and SBI subsequently sought the bankruptcy order. The date of the newly reported bankruptcy order is 5 November 2026.

Why this matters to bank credit and recovery teams

• A personal guarantee is distinct from the borrower company’s own repayment obligations. Enforcement may require a separate legal process.
• Credit and legal teams need to distinguish a claim filed or admitted in proceedings from an actual cash recovery in a bank’s accounts.
• Documentation of guarantees, invocation notices and creditor claims matters throughout prolonged stressed-asset recovery.
• A trustee-administered bankruptcy process can involve further asset identification, claim verification and distribution; an order does not fix a recovery percentage.

Current status and verification limits

The available reporting supports that a bankruptcy order was passed and a trustee appointed. It does not establish a final distribution amount, completion date, specific bank-wise recovery, or fresh liability against serving bank employees. Branch Wale has not independently examined a certified copy of the NCLT order or a detailed trustee report. Any later appeal, stay, correction or actual distribution must be checked against a subsequent official record.

Sources and References

• Moneycontrol — Videocon's Venugopal Dhoot declared bankrupt by NCLT over SBI's Rs 12,668 crore claim
• The Indian Express — Videocon’s Venugopal Dhoot declared bankrupt over Rs 12,668 crore SBI default