In a significant development for India’s banking sector, the Supreme Court of India has brought the long-running Sterling Biotech case to a close after a total recovery of around ₹9,800 crore, marking one of the largest corporate resolutions in the country.
The case, linked to businessman Nitin J. Sandesara and the , originated from a First Information Report (FIR) filed by the Central Bureau of Investigation, which had alleged an outstanding amount of ₹5,383 crore.
Recovery exceeds initial claims
Over the course of the proceedings, the Sandesara group reportedly repaid ₹3,507 crore directly to the lending consortium, while an additional ₹1,192 crore was realised through liquidation processes.
In its compliance order dated December 17, 2025, the apex court noted that the amount deposited exceeds ₹5,100 crore. Taken together, the total recovery stands at approximately ₹9,800 crore, significantly higher than the amount cited in the original FIR.
Court orders closure of proceedings
After the recovery and settlement between stakeholders, the apex court ordered a full and final closure of the case. It stated that the litigation would be “put to quietus” and directed the quashing of related proceedings.
The apex court also directed the quashing of related proceedings, which effectively ended the investigations and actions initiated by multiple agencies, including the Enforcement Directorate (ED), and the Serious Fraud Investigation Office (SFIO).
Regulatory closure nears completion
During a hearing on April 2, 2026, the Supreme Court Bench comprising Justices J.K. Maheshwari and Vijay Bishnoi also addressed the pending regulatory aspects involving the Securities and Exchange Board of India (SEBI).
The court directed an expedited resolution and granted limited time for final submissions to ensure closure aligned with its settlement order. It was submitted before the Court that a balance amount of ₹45,70,522 would be deposited via a demand draft, completing all remaining formalities under the settlement framework.
The Bench took this on record, noting that with the cumulative recovery of ₹9,800 crore already achieved, no further substantive steps remained pending.
Subsequently, on April 13, 2026, the said demand draft was duly deposited, completing the final compliance.
(With inputs from Agencies)