Daijiworld Media Network – New Delhi

New Delhi, Apr 15: The Supreme Court of India has closed the high-profile Rs 13,000 crore bank fraud case against Nitin Sandesara and Chetan Sandesara after they repaid over Rs 5,100 crore and agreed to settle the remaining dues, effectively quashing all criminal proceedings against them.

The promoters of Sterling Biotech were accused of availing large loans from a consortium of Indian banks before fleeing the country in 2017. They were later declared fugitive economic offenders.

During the course of proceedings, the Sandesara Group repaid Rs 3,507 crore directly to lenders, while an additional Rs 1,192 crore was recovered through liquidation of assets. As per the court’s compliance order dated December 17, 2025, a final settlement deposit of Rs 5,111.43 crore was recorded, taking the total recovery to nearly Rs 9,800 crore.

While lenders estimate the total outstanding at over Rs 19,000 crore, a 2017 FIR registered by the Central Bureau of Investigation had pegged the amount at over Rs 5,300 crore.

The apex court observed that continuing criminal proceedings would not serve any meaningful purpose in light of the substantial recovery already achieved.

Banks had approached the Supreme Court of India seeking release of over Rs 5,000 crore deposited under the settlement involving Sterling Biotech and its group entities. Lenders have since agreed on a formula for distribution of the recovered funds.

The ruling brings closure to one of India’s most prominent banking fraud cases and reflects a pragmatic approach by the court, prioritising financial recovery over prolonged criminal litigation.