IDBI Bank makes another insolvency petition against ZEE, one of the largest media and entertainment companies, based on their default of Rs 225.22 crore.

IDBI Bank has made another insolvency petition against media and entertainment giant ZEE at the Mumbai bench of the National Company Law Tribunal (NCLT). The bank referred to a default of Rs 225.22 crore under a Debt Service Reserve Agreement related to credit facilities granted by Siti Networks Ltd., claiming as a financial creditor.

In its regulatory declaration, ZEE described the petition as malicious, fraudulent and meritless, asserting it was lodged with a motive of harassment and negative publicity. According to the Media and Entertainment Company, it categorically refutes the allegations and is ready to seek legal redress, including damages and defamation, to guard its interests.

This is not the case whereby IDBI Bank has already tried various times to undertake insolvency proceedings with the media and entertainment company. The NCLT dismissed on May 19, 2023, a similar Section 7 plea that had been filed in 2022. That order was also appealed to the National Company Law Appellate Tribunal (NCLAT), which was dismissed on April 7, 2025.

Through the new petition, ZEE had opposed the recent move by the bank, which has no financial implication. According to the industry observers, the case highlights the right-on attitudes between financial institutions and the media and entertainment businesses on the contentious large-scale credit disputes in India.

Stakeholders in the Indian media and entertainment industry are likely to be interested in how the Insolvency and Bankruptcy Code regulatory frameworks interplay with high-profile corporate debt cases.