New Delhi: The Central Bureau of Investigation has registered a case against Essel Group chairman and Zee founder Subhash Chandra, several companies and their directors over allegations that inflated net-worth documents were used to obtain loan facilities from LIC Housing Finance Ltd. The two facilities, sanctioned in 2018 for a combined ₹980 crore, later went into default, with LICHFL alleging a wrongful loss of more than ₹1,322 crore.
The case centres on a striking difference between the net worth attributed to Chandra in documents relied upon while the loans were sanctioned and figures he later stated during personal insolvency proceedings. One certificate valued his net worth at approximately ₹59,113 crore, while Chandra subsequently stated that his net worth in 2024 was ₹31.79 crore.
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CBI FIR Follows Complaint by LIC Housing Finance
The FIR was registered by the CBI’s Banking Securities Fraud Branch on August 31 following a written complaint from Neeta Menghani, General Manager of LIC Housing Finance. The lender has alleged that Chandra, the borrowing companies and their officials acted in collusion and induced LICHFL to advance the loans on the strength of allegedly false or inflated financial documents.
The case has been registered over allegations including criminal conspiracy, cheating and criminal breach of trust, among other offences. LICHFL has also alleged misappropriation and misapplication of loan funds and claimed that assets of the personal guarantor were stripped in a manner that affected recovery proceedings. These allegations are now subject to investigation and have not been established by a court.
Apart from Chandra, the FIR names Vasant Sagar Properties Pvt Ltd and its director Pankaj Suroliya, Pan India Infraprojects Pvt Ltd, Digital Subscriber Management and Consultancy Services Pvt Ltd and its director Amish Pandya, and Spirit Infrapower and Multiventures Pvt Ltd and its director Rajeev Dholakia. Unknown public servants and others have also been named in the case.
₹980 Crore Loans and the Net-Worth Certificates
LIC Housing Finance had granted a ₹500 crore facility to Vasant Sagar Properties Pvt Ltd and Pan India Infraprojects Pvt Ltd as co-borrowers. The facility was described as a home entity loan for takeover and top-up for business expansion and was secured by a continuing personal guarantee executed by Chandra on March 28, 2018.
The lender also sanctioned a ₹480 crore facility to Digital Subscriber Management and Consultancy Services Pvt Ltd and Spirit Infrapower and Multiventures Pvt Ltd as co-borrowers. The rental discounting facility was similarly backed by a continuing guarantee from Chandra, executed on August 10, 2018.
For the Vasant Sagar loan, LICHFL has alleged that the sanction was based, among other factors, on a net-worth certificate submitted by Chandra and issued by DJM & Co on March 28, 2018. The certificate stated his net worth as USD 6,197.62 million, approximately ₹59,113.21 crore, as of March 31, 2017.
For the second facility, another net-worth certificate dated July 6, 2018 and issued by MPJ & Co, Chartered Accountants, allegedly stated Chandra’s net worth at ₹40,562 crore. LICHFL has maintained that the certificates were among the documents considered while approving the facilities.
The alleged discrepancy emerged during subsequent proceedings under the Insolvency and Bankruptcy Code relating to Chandra’s personal insolvency resolution. The complaint states that Chandra denied having the net worth reflected in the certificates submitted to LICHFL. It further records that he stated his net worth in 2024 was ₹31.79 crore and that even during 2017-18, his net worth was not more than ₹40,000 crore.
Defaults Push LICHFL Claim Above ₹1,322 Crore
Both loan facilities subsequently went into default. In its complaint, LICHFL cited an outstanding amount of ₹570.50 crore in the Vasant Sagar facility and ₹507.25 crore in the Digital Subscriber facility. The lender’s alleged wrongful loss has been placed at more than ₹1,322 crore, including amounts arising from the loan accounts, interest and other charges.
The distinction between the original lending and the present claim is significant. LICHFL originally sanctioned ₹980 crore through the two facilities, while its admitted claim in Chandra’s personal insolvency proceedings subsequently stood at ₹1,322.39 crore. The lender has said it continues to retain its rights over the assets securing the facilities.
The CBI case comes while separate personal insolvency proceedings involving Chandra remain before the National Company Law Tribunal. An earlier repayment plan was stayed by a five-member NCLT bench on September 1, which ordered the matter to be reconsidered and restrained Chandra from transferring or alienating his assets while the proceedings continue. The insolvency proceedings and the CBI investigation are separate legal processes.
There was no immediate response from Chandra or the other accused to the registration of the FIR, according to reports citing PTI. The allegations against them remain under investigation.
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About the author — Suvedita Nath is a science student with a growing interest in cybercrime and digital safety. She writes on online activity, cyber threats, and technology-driven risks. Her work focuses on clarity, accuracy, and public awareness.
