5. It operates through more than 250
subsidiaries including IL & FS Investment
managers, IL & FS financial services .
Its projects include some of the
largest infrastructure projects such as
2.Chennai Nashri tunnel.
6. It was founded by three financial
institution such as:-
Central Bank of India
Housing Development Financial
Unit Trust of India
Its shareholders are LIC,ORIX,ADAI
7. As of March 2018, the largest shareholders
of IL & FS Investment services were as
LIC : 25%
ORIX Corporation, Japan (a part
of Mitsubishi Keiritsu): 23%
IL & FS Employees welfare trust : 12
Abu Dhabi investment authority : 12%
HDFC Ltd : 9
Central bank of India : 7%
State Bank of India : 6%
8. Life Insurance Corporation of India with
a 25.34% stake which is largest
shareholder in the company.
Orix Corporate ,Japan with 23.54% stake
and is the second largest shareholder.
State Bank of India holds 6.42% stake.
9. From July to September 2018, two out of
IL & FS's 256 subsidiaries reported
having trouble paying back loans and
inter corporate deposits to other banks
Back then in early September
2018, Moneylife India reported that one
of IL & FS's subsidiaries had been unable
to repay a Rs. 1000 crore short term
loan taken from SIDBI.
10. On 1st october 2018, the Government of
India took steps to take control of the
company and arrest spread of the
contagion to the financial markets.
Newspapers reported the lavish salaries
management gave itself at the expense of
the public money.
In the absence of adequate supervision by
RBI or shareholders or any provisions on
remuneration, the management treated the
company as its fiefdom.
11. (June)IL & FS group’s transport
subsidiary IL&FS transportation networks
delayed repayment of Rs450 crore of
inter-corporate deposits from Small
Industries Development Bank of
(July) Group’s founder and chairman Ravi
Parthasarathy steps down ,citing health
12. (August) Group’s financial arm IL&FS
financial services defaults on repaying a
few hundred crores of rupees to its
commercial-paper investors but pays
the same two days later.
(September) ICRA CARE and brickwork
ratings downgrades the conglomerate’s
various long and short term borrowing
programmes worth over Rs 12,000
crores to “default” or “junk” grades.
13. Meanwhile ,the RBI initiates a special audit.
After that former LIC chairman SB Mathur
takes over as IL7FS group chairman.
IL&FS says it is planning to monetise assets
to pare its debt by upto Rs 30,000 crores
over the next 18 months.
RBI meets top shareholders and raises
concern on the crisis.
NCLT judgement allows govt. to assume
control and institute a new board under
chairmanship of Uday Kotak and other 5