Faced with their loan exposure to the Delhi Airport Metro Express Link project turning into a non-performing asset, a consortium of lenders has initiated steps for recovery of the dues.
The lenders’ consortium, headed by Axis Bank, has sent recovery notices to both Reliance Infrastructure (promoter of the original concessionaire) and Delhi Metro Rail Corporation (which is now operating the Airport Metro link), sources in the banking industry said.
The consortium has an overall exposure of about Rs 1,800 crore to the project.
The lenders had met senior Finance Ministry officials on the issue recently, sources said.
Delhi Airport Metro Express Pvt Ltd , the special purpose vehicle floated by RInfra to execute the project, had in July said it had terminated the concession agreement with DMRC through a notice sent in October 2012.
The termination is, however, under arbitration.
Banks contend that the notice for termination does not absolve RInfra of repayment of the dues.
Apart from Axis Bank, the consortium includes Punjab National Bank, Canara Bank, Dena Bank, Central Bank of India and the London subsidiary of India Infrastructure Finance Co Ltd.
IIFC (UK) has an exposure of $54 million (around Rs 340 crore today) out of the total Rs 1,800 crore provided by the consortium.
DMRC had from July 1 this year taken over the operations of the 22.7-km-long Airport Metro link. It is collecting all revenues — ticketing and retail business — from that date.