The Reserve Bank of India (RBI) on Friday met the large shareholders of debt-laden Infrastructure Leasing & Finance Services (IL&FS) to decide on revival and capital infusion plans for the company, sources said.
Deputy governors NS Vishwanathan and MK Jain have met the representatives of LIC and Orix Corporation of Japan, the two largest shareholders which own 25.34 and 23.54% stake in the company, respectively, sources said, but refused to share the contours of the meeting.
The Abu Dhabi Investment Authority, HDFC, Central Bank of India and SBI hold 12.56%, 9.02%, 7.67% and 6.42%, respectively in the cash-strapped company.
The RBI had earlier called all the shareholders of the group for the meeting, but later whittled it down to two of the large shareholders.
The IL&FS group is facing serious liquidity crisis and has defaulted on interest payment on various debt repayments since August 27. It has over Rs 91,000 crore in debt at the consolidated level.
The company needs an immediate capital infusion of Rs 3,000 crore and is planning a Rs 4,500-crore rights issue.
On Thursday, IL&FS Financial Services defaulted on bank loans, including interest of Rs 284.5 crore to five banks.
The company also said it defaulted on repayments of Rs 103.53 crore of term deposit and Rs 52.43 crore of short term deposit.
On September 24 and 26, IL&FS Financial Services had defaulted on repayment of commercial papers due on the respective days.
Meanwhile, LIC Mutual Fund said on Friday that IL&FS Securities Services, an arm of the crippled infra lender, has cleared its dues worth Rs 300 crore.
Beginning August 27, the diversified IL&FS group, which is facing cash crunch has been defaulting on payments, with Thursday alone it telling regulators that it had defaulted on seven payments.
"We would like to confirm that we have received all our interest payments and/or maturity proceeds from IL&FS group entity, with the final payment of Rs 300 crore being paid Friday," LIC MF said in a statement.
