IL and FS rejigs top level responsibilities to expedite resolution

The IL&FS Board has made some top level changes in responsibilities for expediting the resolution process involving its group companies.

According to sources, Ashwani Kumar, who is currently heading the energy vertical, has been mandated to head the asset monetisation initiative for the Group, except for the road business. Kumar has successfully divested IL&FS stake in the Wind Energy business to Orix Corporation of Japan.

IL&FS spokesperson, however, declined to comment.

According to people in the know, Dilip Bhatia, CEO of IL&FS Transportation Networks India Limited (ITNL), will now be completing the monetisation initiative of the road business and also completing the InvIT initiative commenced by the board. IL&FS has already applied to SEBI for incorporating InvIT for nine roads and is expecting approvals soon.

The company is also in an advanced stage of negotiations for divesting stake in road assets which form a substantial chunk in the overall IL&FS debt of over Rs 94,000 crore.

The Board has nominated Kaushik Modak to lead the creditor engagement responsibilities across the Group. Modak is currently the CEO of IL&FS Financial Services.

All three members -- Ashwani Kumar, Dilip Bhatia and Kaushik Modak, are part of the Operating Committee working with the new IL&FS Board and managing day-to-day operations of their respective businesses.

N. Sivaraman, currently the COO of IL&FS is heading the asset monetisation and InvIT, would be exiting the group and handing over his responsibilities to the three members from July 31, 2020.