Five years after IL&FS was put under a debt resolution mechanism, almost 82 of its subsidiaries remain unresolved, of which, 24 are expected to remain unresolved by March next year due to delays in responses from joint venture partners, multiple litigations/arbitrations and holding companies wherein underlying entities need to be resolved.
The status report filed on the progress made so far in the resolution process of the IL&FS Group entities stated that the overall debt resolution across the group is estimated to reach approximately ₹61,000 crore, which aggregates to approximately 61.39 per cent of the total external debt outstanding of ₹99,355 crore. As on September 30, 2023, the total debt discharged to creditors aggregates to ₹34,977 crore.
As on September 30, 2023, IL&FS Group has 82 unresolved entities, in which the resolution plan is yet to be filed with the NCLT. Incremental resolution of 29 entities is estimated by December 31, 2023, and 29 entities by March 31, 2024, which is the expected timeline for filings to be made before the relevant court.
“Beyond March 31, 2024, 24 entities are expected to remain, which have underlying complexities including delays in responses from joint venture partners, multiple litigations/arbitrations, and holding companies wherein underlying entities need to be resolved,” said the status report.