Shares of two of IL&FS group companies defied the broader market sentiment and gained as much as 10 per cent on the bourses after the newly appointed board said it will take all necessary steps to preserve the value of the group.
The fact that the management of Infrastructure Leasing and Financial Services (IL&FS) was providing a false picture of its financials is among the first leads that is being looked into by those investigating the matter in the Reserve Bank of India (RBI) and Serious Fraud Investigation Office (SFIO), two sources close to the developments, told…
Highlighting the complexity with turning around the debt-laden IL&FS Ltd, its newly-constituted seven-member board on Thursday said that there are 348 entities within the group, significantly higher than what was disclosed earlier. This could also mean that the group’s debt could be much higher than Rs. 91,000 crore as at March-end 2018.
In a U-turn, Pakistan has announced that its close ally Saudi Arabia would not join the USD 50 billion China-Pakistan Economic Corridor, days after Islamabad said Riyadh will be the third “strategic partner” of China’s flagship project, the Belt and Road Initiative.
The share price of infrastructure major Hindustan Construction Company (HCC) rose 3.8 per cent on Wednesday after the company announced that its joint venture with Hyundai Development Corporation (HDC) has bagged the contract for Package II of Mumbai coastal road worth Rs. 2,126 crore from the Municipal Corporation of Greater Mumbai (MCGM).
The SFIO has started investigations into the affairs of crisis-hit IL&FS and its subsidiaries amid concerns over financial irregularities, according to a senior official. In a rare move, the government has superseded the board of IL&FS on Monday against the backdrop of debt defaults by some of its group entities that triggered fears of liquidity…
The government is likely to move quickly to induct four more directors with experience in infrastructure lending and EPC (engineering, procurement and construction) into the debt-laden IL&FS. This is being done to stave off criticism that the six who have already been appointed to manage its affairs lack sufficient experience in the infrastructure space.
IL&FS Transportation Networks has defaulted on payments of interest due on Non-Convertible Debentures amounting to over Rs. 20 crore. The payment was due on October 1.
The government may have taken over the reins of troubled Infrastructure Leasing and Financial Services (IL&FS) and installed a new board, but former directors believe that the problems at the firm arose chiefly from an asset-liability mismatch and that the management was not at fault.
Infrastructure major Larsen & Toubro has announced that its heavy civil infrastructure business has orders worth Rs 7,489 crore which includes two packages (1 and 4) of Mumbai Coastal Road Project developed by the Municipal Corporation of Greater Mumbai.