SITI Networks default: ₹1,206 crore to 8 lenders in 2026

What SITI Networks disclosed to exchanges

SITI Networks Limited has reported defaults totalling ₹1,206.03 crore on term loan instalments to eight lenders. The disclosure was made to stock exchanges under SEBI’s November 21, 2019 circular that requires listed entities to report defaults on interest or principal payments. In different filings cited in the disclosure trail, the company has referenced multiple reporting dates, including March 2, 2026 and March 31, 2026. The company also stated that the defaults continued beyond the 30-day threshold, a key trigger for formal reporting under the SEBI framework.

The filings show the same overall default amount of ₹1,206.03 crore, but with different “date of default” cut-offs being referenced across periods. These include January 31, 2026 and February 28, 2026 in 2026 disclosures, and earlier cut-offs such as October 31, 2025 and August 31, 2025 in prior quarterly updates. The lender set remains consistent across disclosures, covering banks as well as an asset reconstruction company and other entities.

Default amount and key lenders

The largest exposure in the default disclosure is to Asset Reconstruction Company (India) Limited (ARCIL) at ₹364.77 crore. Axis Bank Limited is the second-largest at ₹240.85 crore, followed by Aditya Birla Finance Limited (ABFL) at ₹177.94 crore. IDBI Bank Limited is listed at ₹169.66 crore, while Vani Agencies Pvt. Ltd. is shown at ₹148.00 crore. Smaller amounts are disclosed for Ratnakar Bank Limited (RBL), IndusInd Bank, and Indian Cable Net Company Limited (ICNCL).

The disclosure also provides “previous claim” figures against each lender, and an aggregate previous claim total of ₹1,500 crore versus the current total default/claim figure of ₹1,206.03 crore. The company’s filing language frames these as claims submitted in the insolvency process and subsequent updates.

Lender-wise split (as disclosed)

How the default dates are presented across filings

The disclosure trail references more than one default date. One set of details states the date of default as January 31, 2026, with the default continuing beyond 30 days. Another disclosure cites defaults as of February 28, 2026, again stating they continued beyond the 30-day threshold.

Separately, the company’s periodic default updates also cite an October 31, 2025 default date in one instance, and an August 31, 2025 cut-off in another published update. The common thread is that SITI Networks continues to report term loan instalment defaults across the same lender group, and repeats the same overall claim/default figure of ₹1,206.03 crore in multiple periods.

Insolvency context: CIRP since February 2023

SITI Networks remains under Corporate Insolvency Resolution Process (CIRP), initiated in February 2023. The company’s disclosures refer to ongoing litigation that is influencing timelines and treatment of claims. The filings note that creditor claims and process management issues are under consideration through appeals before the Supreme Court.

The company also references developments at the National Company Law Appellate Tribunal (NCLAT). A cited NCLAT judgment dated July 31, 2025 reportedly directed financial creditors to remit amounts back to the corporate debtor along with accrued interest, in line with prior orders in the matter. However, the same disclosure set states that appeals are pending before the Supreme Court and that a stay has been granted on remittances, making aspects of the process sub judice.

Claims submitted, admitted, and book balances (audit references)

The disclosures include audit-related notes that help frame the numbers being reported. The company has stated that financial creditors submitted claims amounting to ₹1,206.03 crore as on August 10, 2023, and ₹1,500 crore as on February 22, 2023. Out of the claims as of August 10, 2023, ₹1,129.27 crore was admitted by the resolution professional (RP), as cited in the notes.

Separately, the notes referenced in the disclosure state that the corresponding balance of such borrowings as on March 31, 2024 stood at ₹1,075.97 crore in the company’s books. The disclosure adds that lenders had classified the company’s loan accounts as non-performing assets (NPAs) under a consortium. It also states that the company had not provided additional and penal interest as part of finance cost, and that in the absence of computation and sufficient audit evidence, the impact on the standalone financial statements for the year ended March 31, 2024 could not be commented upon.

What the SEBI default disclosure requirement means

SEBI’s circular framework requires listed entities to disclose defaults on interest and principal payments to banks and financial institutions, including revolving facilities like cash credit. SITI Networks’ filings explicitly cite this circular and position the disclosures as periodic updates to the market on continuing defaults. The company’s disclosures repeatedly highlight that the default continued beyond 30 days, which is material for investors monitoring credit stress and compliance.

The lender list includes entities such as ARCIL, banks including Axis Bank, IDBI Bank, RBL and IndusInd Bank, and other lenders such as Vani Agencies Pvt. Ltd. and ICNCL. The nature of obligation is disclosed as term loan instalments.

Market and stakeholder impact (based on disclosed facts)

The disclosed defaults indicate ongoing stress in SITI Networks’ debt servicing, and the continuation of CIRP means the company’s liabilities are being addressed through an insolvency framework rather than routine repayment. For lenders, the disclosure highlights the distribution of claims across institutions and provides a reference point for previously reported claims versus current claim figures in the table.

For investors, the key takeaway is that the company’s regulatory filings continue to report the same aggregate default/claim amount of ₹1,206.03 crore while legal proceedings remain active. The references to Supreme Court appeals and stays suggest that certain directions affecting creditor remittances and the handling of claims are under judicial consideration. Beyond these facts, the filings do not provide a revised resolution timeline.

Why this default disclosure matters

The repeated quarterly-style disclosures, together with the CIRP status, show that the company’s financial position is being managed under formal insolvency proceedings. The lender-wise detail makes clear which institutions carry the largest exposures within the stated claim/default total. The audit notes cited in the disclosures add another layer by pointing to issues such as non-accrual of penal interest and reconciliation gaps between claims submitted, claims admitted, and book balances.

The numbers also show a progression in claims reporting from ₹1,500 crore (as on February 22, 2023) to ₹1,206.03 crore (as on August 10, 2023), with ₹1,129.27 crore admitted and a borrowings balance of ₹1,075.97 crore in the books as of March 31, 2024. These are not presented as forecasts, but as snapshots from the regulatory and audit-linked disclosures.

Conclusion

SITI Networks has disclosed term-loan instalment defaults aggregating ₹1,206.03 crore across eight lenders, with filings in March 2026 referencing default cut-offs including January 31, 2026 and February 28, 2026. The company remains under CIRP initiated in February 2023, and its disclosures point to ongoing Supreme Court proceedings that affect the resolution process and treatment of creditor claims. The next material updates are likely to come through further exchange filings tied to the insolvency process and court outcomes, as and when issued by the company.