Debt

Debt financing

Delhi HC stays Punjab & Sind Bank from taking further action on Srei

Economic Times  

In a relief to Srei Group and its founder Hemant Kanoria, the Delhi High Court has ordered Punjab & Sind Bank to restrain itself from taking any further action on the company. This comes after a recent classification of Srei loans as fraud by the state-owned lender, which took its decision on the basis of a forensic audit report by KPMG. The lender had on April 19 declared the two Srei group loan accounts as frauds, following which Kanoria made a petition against the bank. Srei Infrastructure has an outstanding due of Rs 510 crore to Punjab & Sind Bank. The dues of its wholly-owned subsidiary, Srei Equipment Finance, run to Rs 724 crore.