IL&FS crisis: Multiple options explored, selling the firm as going concern best-case scenario, says Injeti Srinivas

New Delhi: The government is mulling the sale of crisis-hit Infrastructure Leasing and Financial Services (IL&FS) as one of the options to resolve issues facing it, Corporate Affairs Secretary Injeti Srinivas said on Monday. IL&FS, which arranged financing for infrastructure projects, has amassed huge debts and has defaulted on payment obligations for some. “Whatever is in the best interest of the stakeholders, including public interest, will be the factor which will guide a resolution,” he said. [caption id=“attachment_5251861” align=“alignleft” width=“380”] Representational image. Reuters.[/caption] “As far as IL&FS is concerned, I think the report which has been submitted to the National Company Law Tribunal (NCLT) articulates the approach. So it could be in the best scenario that IL&FS as a group enterprise is sold as a going concern,” he added. However, there are serious issues and the likelihood of such an outcome is limited, he said. The government has seized control of IL&FS and ordered an inquiry by the Serious Fraud Investigation Office. “There are alternative approaches of looking at separate verticals, and verticals going as one consolidated entity. And the last approach is that you have an asset level sale,” he said. But what seems most probable is to have a combination of all the three approaches, he said. “All the three approaches in some sort of permutation and combination can ultimately be the outcome,” he said.