IL&FS Group has completed an interim distribution pay-out of ₹920 crore in Chenani Nashri Tunnelway (CNTL), a subsidiary of IL&FS Transportation Network (ITNL), an IL&FS Group company.

The distribution has been made ahead of the proposed debt restructuring of CNTL and will be followed by the contemplated transfer of the company to the InvIT — subject to the outcome of pending legal proceedings and requisite approvals.

The secured creditors of CNTL, who received the payouts, include State Bank of India, Canara Bank, Union Bank of India, UCO bank, Punjab National Bank, J&K Bank, Indian Bank, IOB, Punjab and Sindh Bank, and ACRE.

IL&FS has already completed the interim distribution pay-out of ₹623.3 crore for Rapid Metro Gurgaon, ₹1,273 crore for Rapid Metrorail Gurgaon South, and ₹3,200 crore in IL&FS Financial Services for eligible financial creditors.

In addition, the IL&FS Group has distributed ₹919 crore to the creditors of Khed Sinnar Expressway as full and final distribution towards their dues after requisite approvals. The major lenders that received the final pay-out include IDBI Bank, IFCI, IIFCL, and JC Flower Asset Reconstruction.

In May 2022, the NCLAT approved the interim distribution application of the Ministry of Corporate Affairs on an interim basis without waiting for the end resolution of certain IL&FS Group entities.

While IL&FS has already initiated the process for cash pay-out across select companies, the distribution of InvIT units would be undertaken by way of an IPO that will be launched as per SEBI guidelines and after all InvIT units are issued.

The new IL&FS Board has retained its overall resolution estimate at ₹61,000 crore, representing 62 per cent of overall — fund based and non-fund-based — debt of over ₹99,000 crore as of October 2018.