Supreme Infrastructure moves closer to settling ₹2,200 crore debt after NCLT extends payment deadline

Supreme Infrastructure India Limited (SIIL) has moved closer to resolving its legacy debt of ₹2,200.36 crore owed to 14 financial creditors after the National Company Law Tribunal (NCLT), Mumbai Bench, issued a significant order on October 28, 2026. The development marks an important milestone in the company's financial restructuring process, which is being pursued through a court-approved Scheme of Compromise and Arrangement under Sections 230 and 231 of the Companies Act, 2013, rather than the conventional corporate insolvency resolution process.

The NCLT's latest order provides a framework for completing the outstanding settlement obligations following an agreement between the company and its three remaining lenders — State Bank of India (SBI), Punjab National Bank (PNB) and Union Bank of India.NCLT extends payment deadline to October 31The Tribunal's directions followed the filing of mutually agreed minutes by Supreme Infrastructure and the three lenders on October 26. Under the arrangement, the NCLT extended the deadline for completing the payments to October 31, 2026.

It also directed the lead bank to operationalise the escrow arrangement within two working days. The order addresses several aspects of the settlement process, including the appropriation of funds, release of securities and charges, and issuance of necessary discharge certificates. The agreed framework also contains a provision relating to reimbursement of ₹5 crore and specifies consequences in the event of non-compliance with the prescribed deadline.

The implementation and enforceability of these provisions will be governed by the Tribunal's order and the mutually agreed minutes. In an earlier statement, Siddharth Jain, Chief Financial Officer of Supreme Infrastructure India Limited, said: "The restructuring marks a defining moment in Supreme Infrastructure’s journey towards financial stability and sustainable growth. Resolving legacy debt obligations of this magnitude through a consensual, court-sanctioned framework is a significant achievement.”“With the resolution approaching its final stages, our focus is on strengthening the balance sheet, improving operational efficiencies and positioning the company to capitalise on emerging opportunities in India’s infrastructure sector.

We believe this development will provide a strong foundation for long-term revival and growth,” Jain added. Scheme secured 93.62% creditor supportSupreme Infrastructure's debt resolution plan received substantial support from its financial creditors, securing 93.62% of the votes cast at a creditors' meeting held on May 13, 2024. The NCLT subsequently sanctioned the Scheme on March 28, 2025, allowing the company to pursue a consensual settlement with its lenders outside the conventional insolvency resolution framework.

The arrangement covers principal outstanding debt of ₹2,200.36 crore as of June 30, 2022. This amount excludes accumulated interest, penal interest and other associated charges, which are subject to waiver upon successful completion of the settlement in accordance with the sanctioned Scheme. ₹687.73 crore already paid to lendersAccording to an earlier advisory release, Supreme Infrastructure had already paid ₹687.73 crore to its lenders as part of the restructuring exercise.

Of the 14 financial creditors covered under the Scheme, 11 have received their settlement amounts and released their respective charges. The remaining obligations are being addressed through an escrow mechanism involving SBICAP Trustee Company Limited. The latest NCLT directions are intended to facilitate the completion of the outstanding payments and related formalities.

Advisory firm played role in restructuring AU Corporate Advisory & Legal Services, led by its founder Akshat Khetan, has been identified as the legal and strategic adviser to the promoters of Supreme Infrastructure during the restructuring exercise, according to the firm's account. Headquartered in Mumbai, Supreme Infrastructure India Limited is listed on the BSE and NSE and has business interests across several infrastructure segments, including roads, bridges, buildings, water and power projects.

The completion of the settlement process is expected to mark a significant step in addressing the company's legacy financial obligations while supporting business continuity and preservation of enterprise value.