NCLT Mumbai Declares Videocon Promoter Venugopal Dhoot Bankrupt Over ₹12,668 Crore Default
The NCLT Mumbai bench has declared former Videocon promoter Venugopal Dhoot bankrupt over a massive ₹12,668 crore loan default to SBI. Find out what happens next to his personal estate and why his earlier repayment plan was rejected.
According to PTI, the tribunal has appointed a Bankruptcy Trustee to administer the proceedings and oversee the distribution of Dhoot's estate among his creditors. Dhoot had personally guaranteed credit facilities extended to Videocon Industries by SBI and its erstwhile associate banks, which were subsequently merged with the lender.
"Venugopal Nandlal Dhoot, the Personal Guarantor herein, is declared as Bankrupt," stated an order issued by a two-member NCLT bench on Thursday.
The tribunal has directed the appointed Bankruptcy Trustee to issue a public notice inviting claims from Dhoot's creditors. It also clarified that the "estate (property) of the bankrupt (Dhoot) shall be divided among his creditors."
Under the tribunal's directions, Dhoot must submit a statement detailing his financial position to the Bankruptcy Trustee within seven days from the commencement of the bankruptcy proceedings. The order stated, "The Bankrupt (Dhoot) shall submit his statement of financial position to the Bankruptcy Trustee in the prescribed form within seven days from the date of this order, i.e. the bankruptcy commencement date."
Venugopal Dhoot, 75, is an Indian businessman and the founder, chairman and managing director of Videocon Industries. Born in Mumbai on 30 September 1951, he studied at the College of Engineering, Pune. He is married to Rama Dhoot and has two children, Anirudh Dhoot and Surbhi Dhoot. The Central Bureau of Investigation (CBI) arrested him on 26 December 2022 in connection with the ICICI Bank fraud case.
The Bankruptcy Trustee has also been instructed to submit an initial report to the tribunal and the Committee of Creditors (CoC) within 90 days of the bankruptcy commencement date. The trustee will subsequently have to file progress reports every quarter. The directions were issued by a bench comprising Judicial Member Vinay Goel and Technical Member Charanjeet Singh Gulati.
The NCLT stated that the bankruptcy proceedings against Dhoot "shall continue to have effect till the debtor is discharged under Section 138 of the Code", according to its 12-page order.
The case originates from loans taken by Videocon Industries Ltd (VIL) from SBI and its erstwhile associate banks, including State Bank of Hyderabad, State Bank of Mysore, State Bank of Travancore, State Bank of Bikaner and Jaipur, and State Bank of Patiala. Videocon Telecommunications Ltd (VTL) had also received a portion of the credit facilities as a co-obligor. Both companies subsequently defaulted on their repayment obligations.
According to SBI's bankruptcy petition, the total outstanding default, including interest and penalties, stood at ₹12,668.06 crore as of 30 September this year. The amount comprised ₹9,322.10 crore under the rupee term loan facility, ₹1,437.76 crore under the VTL facility and ₹1,908.19 crore under the working capital facility.
Dhoot had personally guaranteed the loans extended to Videocon Industries by SBI and its former associate banks. These banks were amalgamated with SBI in April 2017. The lender invoked Dhoot's personal guarantees by issuing demand notices in February 2018.
The NCLT initiated personal insolvency resolution proceedings against Dhoot on 8 April 2026. During the process, he submitted a repayment proposal on 16 June 2026, offering to pay ₹600 crore over 36 months through a proposed development project in Siliguri. The proposed repayment represented just 0.42% of the admitted dues.
However, the resolution professional raised concerns over the proposal, pointing out that its implementation depended on future project approvals and cash flows and did not include any upfront payment. The professional also observed that the repayment plan had not been formulated in consultation with him, as required under Section 105 of the Code. Its execution remained dependent on future development, regulatory approvals and cash flows.
The NCLT dismissed Dhoot's repayment proposal on 17 July under Section 114 of the Code, bringing the personal insolvency resolution process to an end. SBI subsequently filed a bankruptcy petition on 24 September, within the three-month period stipulated under Section 121(2).
While admitting the lender's petition, the tribunal observed, "We are satisfied that the Petition complies with all the requirements prescribed in Section 123 of the Code. Therefore, we consider it proper to admit this Petition."
The order also recorded that Dhoot was not represented during the proceedings. The tribunal directed the Bankruptcy Trustee to submit a preliminary report to the NCLT and the Committee of Creditors within 90 days of the bankruptcy commencement date.
With the bankruptcy petition now admitted, the proceedings will move into the stage of administering Dhoot's estate, inviting creditor claims and assessing the assets available for distribution. The process will remain in force until his discharge under Section 138 of the Code, subject to the directions laid down by the tribunal.

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