After DHFL, Srei becomes second NBFC to be taken to bankruptcy court
MUMBAI: Post IL&FS crisis, Srei is the second firm whose two NBFCs faced action by the Reserve Bank for their failure to repay debts and will soon be taken to the NCLT for corporate insolvency resolution under the IBC.
The crisis-hit DHFL was the first NBFC whose board was superseded by the Reserve Bank.
Later it went through the corporate insolvency resolution process which was successfully resolved with Piramal Capital and Housing Finance Ltd acquiring the troubled housing finance company after paying creditors Rs 34,250 crore.
On Monday, the RBI superseded the Board of Directors of Srei Infrastructure Finance Limited (SIFL) and Srei Equipment Finance Limited (SEFL), owing to governance concerns and defaults by them in meeting their various payment obligations.
