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The debt default saga continues at the debt-laden IL&FS group, with a subsidiary, IL&FS Financial Services Ltd (IFIN), on Saturday disclosing more defaults in payment obligations on term loans and non-convertible debentures (NCDs) aggregating about Rs 243 crore.
IFIN was unable to service its obligations due today in respect of term loan (Rs 71.33 crore), interest payment of NCD Series 2017 XIII (Rs 8.69 crore), and interest and principal payment of NCD 2015 Series I (Rs 162.91 crore), the company said in a stock exchange notification.
On September 28, IFIN said it was unable to service its obligations in respect of term loan (Rs 100.72 crore), commercial paper (Rs 28 crore), interest payment of NCD Series 2012 IV (Rs 4.77 crore), interest payment of NCD 2017 Series XIV (Rs 8.22 crore).
On September 27, IFIN said it was unable to service its obligations in respect of bank loans, including interest (Rs 284.5 crore), term deposit (Rs 103.5 crore), and short-term deposit (Rs 52.43 crore).
The non-banking finance company has defaulted on commercial papers (CPs) due on September 24 and 26. On September 18, IFIN informed the exchanges that CPs which were due on September 14 could not be serviced in full on due date. The same were settled on September 15 by the company. Further, the CPs which were due on September 18, could not be serviced by the company.
According to the Reserve Bank Commercial Paper Directions, 2017, the company cannot access CP market up to six months from the date of repayment of its obligations. All these defaults come in the backdrop of credit rating downgrades and resignation of five directors and the managing director of the company.
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