CEO and MD of financial services unit of Infrastructure Leasing and Financial Services (IL&FS) quits after the company defaulted on interest payments last week. MD & CEO Ramesh Bawa has resigned along with four independent directors and a non-executive director on Friday. The directors who quit include Renu Challu, Surinder Singh Kohli, Shubhalakshmi Panse, Uday Ved, Vibhav Kapoor.
IL&FS, on Friday, informed its lenders that it would not be able to make payments on Rs 250 crore of debt which falls due.The troubled group finds it hard to deal with the present crisis and poses a threat to the entire industry.
Earlier IL&FS also failed to repay corporate deposits subscribed by the Small Industries and Development Bank of India (SIDBI). It could repay only Rs 50 crore out of 250 crore.