In a significant development for the Sandesara siblings, the Supreme Court has concluded the Rs 9,800 crore bank fraud case following an agreed-upon settlement by all involved parties. This resolution also led to the termination of the ongoing legal actions against them.
The Court’s decision to close the case stemmed from the belief that prolonging the proceedings against the Sandesara brothers would not bring about any substantial benefit. This case, associated with Sterling Biotech’s founders Nitin and Chetan Sandesara, was resolved after the siblings paid Rs 5,111.43 crore and reached an agreement for the remaining amount of Rs 4,689 crore.
All criminal charges against the Sandesara siblings have been dismissed as a result of this ruling. The initial FIR against them and their firm referenced a sum of Rs 5,383 crore.
The accused individuals made a direct payment of Rs 3,507 crore, with an additional Rs 1,192 crore recovered through liquidation processes. Subsequently, a demand draft of Rs 45,70,522 was presented on April 13, 2026. The total sum paid, as per court documents, amounts to Rs 5,111.43 crore.
Post-settlement, the Supreme Court determined that pursuing further legal actions would not result in substantial gains, prompting the decision to close the criminal proceedings.
The Sandesara siblings had been accused of borrowing large sums from Indian banks and absconding from the country in 2017, leading to their classification as fugitives and economic offenders. Banks involved indicated their intent to recover their outstanding debts through this settlement. This agreement, finalized toward the close of 2025, facilitated the closure of criminal cases upon the payment of a significant portion of the dues.
The resolution of the Sterling Biotech case has resulted in the release of assets valued at Rs 9,800 crore, marking a momentous financial resolution in India’s corporate landscape. The substantial repayment by Nitin J Sandesara and his group is viewed as a significant positive for India’s banking sector. The CBI’s initial FIR alleged a default of Rs 5,383 crore, but subsequent financial assessments reflected efforts by the group towards financial stability and debt repayment.
During the legal proceedings, the Sandesara group transferred Rs 3,507 crore directly to the lending consortium, with an additional Rs 1,192 crore recovered through liquidation avenues. The recent verification by the Supreme Court confirmed the final settlement deposit, with the total amount recorded at approximately Rs 5,111.43 crore.
Banks sought the release of Rs 5,100 crore, which formed part of the settlement involving Sterling Biotech Limited and associated entities. The legal process reached its conclusion upon confirmation that the remaining balance of Rs 45.70 lakh had been deposited to fulfill all requirements, with this payment completed on April 13, 2026, thereby fulfilling all obligations under the settlement terms.