In a boost for investigators probing the wrongdoings of India’s leading infrastructure lender Infrastructure Leasing & Financial Services, the Supreme Court has allowed reopening of its accounts for the last five years.
The Serious Fraud Investigation Office (SFIO) is currently investigating the case related to defaults by IL&FS and 169 subsidiaries on its interest payments last year that triggered a major liquidity crisis in the country’s non-banking finance company sector.
IL&FS has also defaulted on payment of loans to Small Industries Development Bank of India and along with its subsidiaries has a combined debt of over 910 billion rupees (US$13.2 billion).
The debt crisis at the infrastructure lender came to light following a series of defaults by its group companies beginning September 2018. The government dismissed the IL&FS board and appointed a new one, headed by well-known banker Uday Kotak, to plan its revival.
The SFIO in April arrested Hari Sankaran, the former IL&FS managing director and Ramesh C Bawa, former IL&FS Financial Services chief in connection with its probe into loan defaults.
During its investigation, the SFIO found gross violations by IL&FS and its subsidiaries while carrying out credit appraisal and monitoring.
It found that subsidiary IL&FS Financial Services (IFIN) did not have a single borrower with AAA rating by 2017, even as its exposure to unrated borrowers rose to 25% of the asset book.
The crisis also brought to light the dubious role played by some reputed and leading auditing firms such as Deloitte Haskins and Sells (DHS) and BSR and Co, a unit of KPMG.
Also Read: India’s IL&FS board seeks ban on Deloitte
The IL&FS board alleged that the two companies failed to issue warnings about shortcomings while auditing the books of IFIN and called for blacklisting the two audit firms. Meanwhile, SFIO has decided to investigate 35 audit firms having links with IL&FS and its subsidiaries.
Road Transport and Highways Minister Nitin Gadkari has offered assurances that the new government will resolve the stalled projects of IL&FS. He said around 25-30 projects of IL&FS have been stalled due to the debt crisis and his government will bring the number down to zero in 100 days.
Very interesting points you have mentioned, thankyou for putting up. “I never said most of the things I said.” by Lawrence Peter Berra.
I consider something truly special in this internet site.
I do like the way you have framed this problem and it does indeed offer me personally some fodder for thought. However, from what precisely I have personally seen, I basically wish when other commentary stack on that folks stay on issue and in no way embark upon a soap box of some other news du jour. All the same, thank you for this excellent piece and while I do not necessarily agree with it in totality, I value the viewpoint.
I just could not depart your site before suggesting that I extremely enjoyed the standard information a person provide for your visitors? Is gonna be back often to check up on new posts
Hello my friend! I want to say that this post is awesome, nice written and come with approximately all vital infos. I’d like to peer extra posts like this .
F*ckin’ tremendous things here. I’m very happy to peer your post. Thank you so much and i’m having a look ahead to touch you. Will you please drop me a e-mail?
Hi! I’m at work surfing around your blog from my new iphone 4! Just wanted to say I love reading your blog and look forward to all your posts! Carry on the outstanding work!
This web site is really a walk-through for all of the info you wanted about this and didn’t know who to ask. Glimpse here, and you’ll definitely discover it.
Well I truly liked reading it. This tip offered by you is very helpful for accurate planning.
I have been exploring for a little for any high-quality articles or blog posts on this kind of area . Exploring in Yahoo I at last stumbled upon this web site. Reading this information So i’m happy to convey that I have a very good uncanny feeling I discovered just what I needed. I most certainly will make sure to do not forget this website and give it a look on a constant basis.
Hello there! This is kind of off topic but I need some guidance from an established blog. Is it very difficult to set up your own blog? I’m not very techincal but I can figure things out pretty fast. I’m thinking about creating my own but I’m not sure where to begin. Do you have any ideas or suggestions? Thank you
Hello there, simply turned into alert to your weblog thru Google, and located that it is truly informative. I am going to watch out for brussels. I will appreciate for those who continue this in future. Lots of people will likely be benefited from your writing. Cheers!
You could definitely see your expertise within the paintings you write. The world hopes for more passionate writers such as you who are not afraid to say how they believe. All the time follow your heart. “We are near waking when we dream we are dreaming.” by Friedrich von Hardenberg Novalis.
Your place is valueble for me. Thanks!…
Very well written post. It will be useful to anybody who utilizes it, as well as yours truly :). Keep doing what you are doing – for sure i will check out more posts.
I just couldn’t leave your website prior to suggesting that I actually loved the usual information a person provide for your visitors? Is going to be back regularly to check out new posts
I have been examinating out many of your posts and i can state pretty clever stuff. I will surely bookmark your site.
Wow! This could be one particular of the most helpful blogs We have ever arrive across on this subject. Actually Excellent. I am also an expert in this topic therefore I can understand your effort.
hey there and thanks on your info – I have definitely picked up something new from right here. I did alternatively experience several technical points the use of this site, as I skilled to reload the site lots of instances previous to I may get it to load correctly. I had been wondering if your hosting is OK? No longer that I’m complaining, but slow loading circumstances instances will very frequently impact your placement in google and could damage your quality score if advertising and ***********|advertising|advertising|advertising and *********** with Adwords. Anyway I’m including this RSS to my e-mail and can look out for much more of your respective fascinating content. Ensure that you update this once more soon..
I would like to express some appreciation to the writer just for bailing me out of such a dilemma. Just after looking out throughout the search engines and seeing tricks which are not powerful, I figured my entire life was over. Being alive without the solutions to the issues you’ve sorted out by means of the article content is a critical case, and the kind which might have adversely damaged my career if I had not come across your website. Your actual skills and kindness in dealing with every item was helpful. I don’t know what I would have done if I hadn’t discovered such a thing like this. I am able to now relish my future. Thanks for your time very much for the high quality and effective help. I won’t think twice to recommend the blog to anybody who should have counselling on this issue.