IL&FS Transportation Networks delays Q2 results citing group co's NCLT proceedings
'The newly appointed board of IL&FS is in the process of preparation of roadmap and its subsequent submission to NCLT, which will require IL&FS Transportation Networks Ltd (ITNL) to undertake divestment, restructuring and/or consolidation of its assets...which will have an impact on the accounting and financial aspects of ITNL,' the company said in a BSE filing.
New Delhi: IL&FS Transportation Networks, part of the troubled IL&FS group, on Thursday cited NCLT insolvency proceeding as the reason for the delay in filing September quarter financial results with the stock exchanges and said it will declare quarterly numbers at the earliest.
As per the listing norms with BSE and NSE, companies are required to file the results on a quarterly basis within 45 days from the end of the quarter.
"The newly appointed board of IL&FS is in the process of preparation of roadmap and its subsequent submission to NCLT, which will require IL&FS Transportation Networks Ltd (ITNL) to undertake divestment, restructuring and/or consolidation of its assets...which will have an impact on the accounting and financial aspects of ITNL," the company said in a BSE filing.
"The aforesaid has resulted in a delay in finalising and submission of financial results for the September quarter," it added.
The company also said accounting systems and the drives in which financial data was stored was unavailable to it for many weeks as it was in custody of investigative agencies.
ITNL said is in the process of reviewing the financial accounts for the quarter ended September, 2018 and will submit it "at the earliest".
The company requested BSE not to take action against it for the delay in submission of September quarter financial results.
The Mumbai bench of the NCLT had on 1 October suspended the board of IL&FS on government's plea and had authorised reconstitution of the board by appointing seven directors two days later.
Later, the National Company Law Appellate Tribunal (NCLAT) stayed all proceedings against IL&FS and its 348 group firms till a further order.
The newly constituted board of Infrastructure Leasing and Financial Services (IL&FS), headed by veteran banker Uday Kotak, will meet for the second time Friday to decide on the further course of action plan for the cash-crunched company
The Gujarat Metro Rail Corporation has awarded the balance work to J Kumar Infrastructure and has also started to encash the bank guarantee of IL&FS.
The Parliamentary Standing Committee on Finance will take stock of the developments at crisis-hit IL&FS Group for three days from 3 December