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REGD. No. D. L.-33002/99
GOVERNMENT OF INDIA
Delhi Gazette
SG-DL-E-09022026-269978
EXTRAORDINARY
PUBLISHED BY AUTHORITY
No. 46]
DELHI, MONDAY, FEBRUARY 9, 2026/MAGHA 20, 1947
[N. C. T. D. No. 460
PART IV
GOVERNMENT OF THE NATIONAL CAPITAL TERRITORY OF DELHI
952 DG/2026
(1)
FINANCE DEPARTMENT
NOTIFICATION
Delhi, the 6th February, 2026
F. No. Fin. (DFC)/2025-26/876.— Subject: Order for winding-up of Delhi Financial Corporation
under Section 45 of the State Financial Corporations Act, 1951
WHEREAS
1. The Delhi Financial Corporation (hereinafter referred to as "DFC") is a Financial Corporation established under
the State Financial Corporations Act, 1951 (Act No. 63 of 1951):
2. The Council of Ministers, Government of NCT of Delhi, has considered and approved the proposal for winding-
up of DFC on account of its financial non-viability and public interest considerations, and the competent authority has
decided that DFC be wound up in the manner hereinafter provided;
3. AND WHEREAS the said approval has been accorded vide Cabinet Decision No. 3294 dated 14.01.2026;
4. Under Section 45 of the said Act, a Financial Corporation shall not be placed in liquidation save by order of the
State Government and in such manner as it may direct by administrator in case of Union Territory;
NOW, THEREFORE
In exercise of the powers conferred by Section 45 of the State Financial Corporations Act, 1951, and all other
powers enabling in this behalf, the Hon'ble Lieutenant Governor of the National Capital Territory of Delhi
hereby orders as follows:
1. Winding-up
(1) The Delhi Financial Corporation shall stand wound up with effect from the date of publication of this
Notification in the Official Gazette.
(2) With effect from the said date, all operations of DFC shall stand ceased, including undertaking any fresh
sanction/disbursement of loans, and it shall function only for the purposes of winding-up, namely: realisation of dues,
recovery, settlement of liabilities, disposal/transfer of assets, and completion of statutory and administrative closure
actions.
2. Constitution of Winding-up Committee
(1) The following Winding-up Committee is hereby constituted for implementation of the winding-up of DFC:
a) Administrative Secretary (Finance), GNCTD - Chairperson
b) Administrative Secretary (Industries), GNCTD- Member
c) Administrative Secretary (Law), GNCTD - Member
d) Administrative Secretary (Services), GNCTD - Member
e) Chairman-cum-Managing Director, DFC - Member
f) Controller (Treasuries), GNCTD - Member
g) Representative of Chandigarh Administration - Member
h) Representative of SIDBI - Member
i) Executive Director, DFC - Member Secretary
(2) The Committee may co-opt/seek assistance of any officer/authority/agency of GNCTD and may invite any person(s)
as special Invitee(s), as required for the winding-up process.
3. Vesting of Management and Powers
(1) With effect from the date of publication of this Notification, all powers of the Board of Directors and the
management of DFC shall stand vested in the Winding-up Committee constituted under paragraph 2 above.
(2) Any instrument, resolution, circular, delegation or authority previously issued by DFC shall stand modified to the
extent inconsistent with this Notification.
4. Functions and Powers of Winding-up Committee
The Winding-up Committee shall, subject to applicable law and extant Government instructions, have powers to:
a) take custody, control and management of all assets, records, securities, cash/bank balances, investments and
properties of DFC;
b) realise dues and pursue recoveries, including through OTS/settlement schemes, legal proceedings and enforcement
actions as permissible:
c) undertake and complete finalisation of accounts, audit, statutory compliances, and closure of operational
arrangements;
d) settle statutory dues and liabilities, including Government dues, municipal dues, utility dues, taxes and other lawful
claims;
e) identify, preserve, transfer or dispose of movable/immovable assets in a transparent manner and as per applicable
rules, including obtaining approvals/consents from lessor authorities in case of leasehold properties;
f) take decisions for employee management, including redeployment, continuity, terminal benefits and related actions,
in accordance with applicable service rules/instructions and subject to advice of Services and Law Departments;
g) continue, institute, defend, settle or withdraw any legal proceedings by or against DFC in the name of DFC, through
authorised officers:
h) engage professionals/consultants as required (auditors, valuers, legal counsel, etc.) in accordance with applicable
procurement norms; and
i) take all incidental and consequential steps necessary to effectuate winding-up.
5. Treatment of Assets, Liabilities and Recoveries
(1) The proceeds of recoveries, monetisation or transfers during winding-up shall be applied towards winding-up
expenses and liabilities in such manner as the Winding-up Committee may direct, consistent with applicable law
and Government directions.
(2) Any transfer of leasehold assets shall be subject to applicable norms.
6. Employees and Terminal Benefits
(1) The pay, service conditions, redeployment, retirement benefits, pension/GPF/NPS and all terminal dues of
employees of DFC shall be dealt with in accordance with applicable rules, notifications, Government instructions and
legal advice, and subject to availability of funds.
(2) No action prejudicial to employees shall be taken except in accordance with law and due process.
7. Continuation of Legal Proceedings
All proceedings by or against DFC pending before any court/tribunal/authority shall continue and be dealt with by the
Winding-up Committee through authorised officers, and DFC shall remain the entity for such purposes until final
dissolution.
8. Final Dissolution
Upon completion of winding-up and settlement/transfer of residual assets and liabilities, the Hon'ble LG may issue a
further notification declaring the final dissolution of DFC and such consequential directions as may be necessary.
By Order and in the Name of the Lieutenant Governor
of the National Capital Territory of Delhi,
SHURBIR SINGH, Secy. (Finance)
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054. SARVESH
Digitally signed by SARVESH
Date: 2006.02.09 19:51:58
SRIVASTAVA