Lenders must not withdraw support until a resolution is found for the IL&FS and its group companies. At present, Infrastructure Leasing & Financial Services (IL&FS) Group companies, with a collective debt of over Rs 90,000 crore, are going through a resolution process. The NCLAT had in February prohibited banks from recognising any IL&FS group accounts as non-performing assets without first seeking approval from the tribunal. Presently, all group companies of IL&FS are classified according to their ability to meet payment obligations. Other IL&FS group companies were categorised as “red”.

Source: The Telegraph May 02, 2019 19:30 UTC