The planned challenge follows approval of a repayment proposal that had majority support despite opposition from several lenders. The dispute centres on the settlement accepted under the NCLT ruling, with the two financial institutions now set to contest that decision.

Chandra’s proposed payment forms part of the approved arrangement. Government officials clarified that his role was that of a guarantor. The report describes his contribution as small but does not give the amount or explain how it compares with the debt covered by the settlement.

The majority’s backing did not mean all lenders agreed with the repayment terms. However, the report does not identify every opposing lender, provide a voting breakdown or set out the specific objections that HDFC Bank and LIC Housing Finance will raise.

Important details about the next stage remain unstated. These include when the challenge will be filed, which forum will hear it and what change the lenders want to the approved arrangement. The report also gives no lender-wise recovery figures, making the financial effect on either institution unclear.