The Congress has alleged that the crisis in Infrastructure Leasing & Financial Services Ltd (IL&FS) is similar to that of Goldman Sachs’ in 2007-08. Party spokesperson Manish Tewari said here on Wednesday that IL&FS does not have the money to pay back the liabilities worth ₹91000 crore. “It is absolutely and completely irredeemable,” Tewari said.

Tewari said that in the last one month, there have been three defaults on commercial papers and the company’s MD has resigned. “Board of Directors are resigning every day. IL&FS is on the verge of collapsing. It will have a domino effect,” Tewari said.

Tewari claimed that the IL&FS scam is bigger than the scams by Vijay Mallya, Nirav Modi, Mehul Choksi, all combined. “PM’s office and the Finance Ministry are putting pressure on the Reserve Bank of India, State Bank of India, Life Insurance Corporation, the National Highways Authority of India to bail out this company. Why is this happening?” he asked. “This is a highly sensitive issue which requires a multi-agency investigation. When 40 per cent of equity is owned by government institutions, the Central Vigilance Commissioner’s or the Comptroller and Auditor General’s superintendence is necessary,” he added.

Tewari said 35 per cent of the company is owned by foreign investors. “Indian taxpayers’ money is used to save foreign investors’ money,” he alleged.

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