Mumbai: For the third time in a month, crippled infrastructure conglomerate IL&FS Financial Services Monday defaulted on interest payments on commercial papers. The company said it will not be able to access commercial papers market for up to six months from the date of repayment of this obligation. “The commercial papers which were due on 24 September, could not be serviced by the company,” the company said in a BSE filing. Earlier this month, it came to light that IL&FS group defaulted on a short-term loan of ₹1,000 crore from Sidbi, while a subsidiary has also defaulted Rs 500 crore dues to the development finance institution. While IL&FS group has a consolidated debt of ₹91,000 crore with IL&FS alone having nearly ₹35,000 crore, IL&FS Financial Services ₹17,000 crore, which sits as standard asset for most of the lenders, according to a Nomura India report.

Source: Mint September 24, 2018 18:00 UTC