Overview
- A February 6 gazette notification ordered DFC’s winding up with effect from publication, ending fresh lending and routine operations.
- All powers of the board and management have shifted to a nine-member winding-up committee headed by the Delhi finance secretary with senior officials and DFC representatives.
- The committee will take custody of assets, pursue recoveries including one-time settlements and legal action, finalize accounts, and dispose of properties under applicable rules.
- Officials cited financial non-viability, noting accumulated losses of about ₹42 crore, an outstanding ₹80 crore owed to the Delhi government as of September 2025, and an eroded capital base.
- Employee pay and benefits will follow service rules subject to available funds, and ongoing legal cases will continue in DFC’s name until a separate order declares final dissolution.