IL&FS Transportation Networks Defaults On Interest Payments Worth Rs 3.37 Crore

IL&FS Transportation Networks Limited, from the crisis-hit IL&FS group, has defaulted on payment of over Rs 3.37 crore dues on interest payable on redeemable non-convertible debentures (NCDs).

The company, in a stock exchange filing, said that the interest on the principal amount due on 14 December was not paid to the stakeholders due to insufficient funds.

The principal amount was defaulted on unsecured 5-year redeemable NCDs up to Rs 50 crore and the interest defaulted on the same was Rs 1.15 crore. Additionally, the principal amount of Rs 99 crore has been defaulted on 10-year secured redeemable NCDs and the interest defaulted on the same was Rs 2.22 crore.

Interest dues on both the NCDs were for a 91-day period from 15 September to 14 December.

Infrastructure Leasing & Financial Services (IL&FS) and its subsidiaries have made multiple defaults on their debt instruments in the past few quarters due to insufficient funds.

A net loss of Rs 22,527 crore was reported for the financial year 2018-19.

In October 2018, when the group's reported total defaults were worth Rs 90,000 crore, the government had appointed Uday Kotak-led board to find a resolution plan for the debt-ridden company.