Government takes IL&FS to NCLT; seeks dismissal of Board

Mumbai, Oct 1 : Facing mounting criticism from the Congress party, the Central government has moved the top corporate tribunal in the country for a change of management at the beleaguered Infrastructure Leasing & Financial Services Limited  (IL&FS).

According to sources, the matter has been listed in the National Company Law Tribunal, Mumbai, for hearing on Monday.

The debt ridden IL&FS has been taken to the NCLT, Mumbai by the Ministry of Corporate Affairs.

The Congress on Sunday stepped up its attack on the Central government, with party President Rahul Gandhi alleging that public money was being used to bail-out the debt-ridden IL&FS group.

In a tweet, Gandhi alleged that Prime Minister Narendra Modi is bailing out the IL&FS group which has a long-term debt liability of around Rs 91,000 crore via public savings in LIC and the State Bank of India (SBI).

The tweet in Hindi titled “Lights, Camera, Scam”, alleges that in 2007 when Modi was the Gujarat Chief minister, IL&FS was given the ‘GIFT CITY’ project worth Rs 70,000 crore. Till date no work has been achieved under the plan.

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