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.
Wonderful items from you, man. I have bear in mind your stuff previous to and you are simply extremely fantastic. I really like what you have obtained right here, certainly like what you are stating and the way in which in which you are saying it. You are making it entertaining and you continue to take care of to stay it smart. I can’t wait to learn far more from you. That is actually a great site.
You really make it seem so easy with your presentation but I find this matter to be really something which I think I would never understand. It seems too complicated and very broad for me. I’m looking forward for your next post, I’ll try to get the hang of it!
great post.Never knew this, thanks for letting me know.
I got good info from your blog
Nice read, I just passed this onto a friend who was doing some research on that. And he just bought me lunch since I found it for him smile Thus let me rephrase that: Thanks for lunch! “One who’s our friend is fond of us one who’s fond of us isn’t necessarily our friend.” by Geoffrey F. Albert.
As soon as I observed this website I went on reddit to share some of the love with them.
This design is spectacular! You definitely know how to keep a reader entertained. Between your wit and your videos, I was almost moved to start my own blog (well, almost…HaHa!) Wonderful job. I really loved what you had to say, and more than that, how you presented it. Too cool!
I like this site so much, bookmarked. “Respect for the fragility and importance of an individual life is still the mark of an educated man.” by Norman Cousins.
Hello there, You’ve done a fantastic job. I’ll definitely digg it and individually suggest to my friends. I am sure they’ll be benefited from this web site.
I was very pleased to seek out this internet-site.I wished to thanks to your time for this excellent learn!! I positively enjoying every little bit of it and I have you bookmarked to take a look at new stuff you blog post.
I enjoy you because of your whole efforts on this site. My mum takes pleasure in working on research and it’s really obvious why. Almost all know all about the compelling ways you give practical steps through this web site and as well as invigorate contribution from some other people on the idea then my simple princess has been being taught a great deal. Have fun with the remaining portion of the year. You are always performing a really good job.
Way cool, some valid points! I appreciate you making this article available, the rest of the site is also high quality. Have a fun.
I like this blog very much, Its a rattling nice berth to read and receive information.
Hey there! Someone in my Facebook group shared this site with us so I came to check it out. I’m definitely enjoying the information. I’m book-marking and will be tweeting this to my followers! Excellent blog and wonderful style and design.
I keep listening to the news update lecture about receiving boundless online grant applications so I have been looking around for the top site to get one. Could you tell me please, where could i find some?
Heya i am for the first time here. I found this board and I find It truly useful & it helped me out a lot. I hope to give something back and aid others like you aided me.
Does your website have a contact page? I’m having problems locating it but, I’d like to shoot you an email. I’ve got some recommendations for your blog you might be interested in hearing. Either way, great blog and I look forward to seeing it expand over time.
Wonderful blog! I found it while browsing on Yahoo News. Do you have any tips on how to get listed in Yahoo News? I’ve been trying for a while but I never seem to get there! Many thanks
Keep up the excellent work, I read few posts on this internet site and I conceive that your website is really interesting and has bands of superb info .
What i do not understood is in reality how you’re now not really much more smartly-favored than you may be right now. You are very intelligent. You realize therefore significantly on the subject of this matter, made me in my opinion believe it from a lot of varied angles. Its like men and women are not involved except it is something to accomplish with Girl gaga! Your personal stuffs outstanding. All the time handle it up!