Videocon Industries: Between a long-drawn IBC process and a hard place

The former giant of the Indian corporate world is caught on the shoals of a long-drawn insolvency process even as lenders face the prospect of losing most of their money

For close to three decades, Videocon Industries, a company set up by an ambitious businessman from interior Maharashtra, Venugopal Dhoot, was the market leader in the consumer durables industry. The success was so fast that it ended the dream run of then rivals such as Onida and BPL.

With several successful launches in consumer goods, the company decided to enter new sectors such as oil and gas and later wireless telephony services by 2008. It was the latter that finally led the entire group to the bankruptcy court.

In 2012, the Supreme Court decided to cancel all wireless telephony licences