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.
Appreciate it for this grand post, I am glad I observed this website on yahoo.
Great line up. We will be linking to this great article on our site. Keep up the good writing.
I was recommended this blog through my cousin. I am no longer sure whether or not this put up is written by means of him as nobody else understand such unique approximately my problem. You are amazing! Thanks!
Loving the information on this website , you have done outstanding job on the content.
Hello my friend! I wish to say that this article is awesome, nice written and include almost all important infos. I would like to see more posts like this.
Some genuinely interesting details you have written.Helped me a lot, just what I was searching for : D.
Heya! I just wanted to ask if you ever have any trouble with hackers? My last blog (wordpress) was hacked and I ended up losing a few months of hard work due to no back up. Do you have any solutions to protect against hackers?
Wow! Thank you! I always wanted to write on my website something like that. Can I include a part of your post to my site?
I have been checking out many of your posts and i can claim nice stuff. I will definitely bookmark your blog.
I truly prize your piece of work, Great post.
You are a very clever person!
Im now not positive the place you are getting your info, however great topic. I needs to spend some time finding out much more or figuring out more. Thanks for fantastic info I used to be searching for this information for my mission.
Dead indited written content, regards for entropy. “The last time I saw him he was walking down Lover’s Lane holding his own hand.” by Fred Allen.
Thank you for the auspicious writeup. It actually used to be a leisure account it. Look complex to far added agreeable from you! However, how can we keep in touch?
Wonderful work! This is the type of information that are meant to be shared across the web. Disgrace on Google for now not positioning this put up upper! Come on over and discuss with my web site . Thanks =)
Utterly composed subject matter, thank you for entropy. “In the fight between you and the world, back the world.” by Frank Zappa.
I’ve been exploring for a little bit for any high-quality articles or blog posts on this sort of area . Exploring in Yahoo I finally stumbled upon this site. Studying this information So i’m happy to exhibit that I have a very just right uncanny feeling I found out just what I needed. I most no doubt will make certain to do not fail to remember this web site and give it a look regularly.
I do agree with all of the ideas you’ve presented in your post. They are very convincing and will certainly work. Still, the posts are very short for novices. Could you please extend them a little from next time? Thanks for the post.
The very crux of your writing whilst appearing agreeable initially, did not really work perfectly with me personally after some time. Somewhere within the sentences you actually managed to make me a believer unfortunately just for a while. I however have a problem with your jumps in assumptions and one might do nicely to help fill in those breaks. When you actually can accomplish that, I could definitely be impressed.
Hi! I’ve been reading your site for some time now and finally got the bravery to go ahead and give you a shout out from Lubbock Tx! Just wanted to tell you keep up the fantastic work!