Infrastructure Leasing & Financial Services (IL&FS) will be going through complete audit of all the group companies, as ordered by the Government-appointed Board of Directors. In addition to this, the company is also adopting austerity measures to cut down the costs.
The Directors has detailed discussion on the further course of the company. In one of the immediate measures, the audit of standalone and consolidated accounts of the company and subsidiaries has been initiated.
The Board has asked to cut down the personnel and operating expenses.
The Board would also be adopting cost-cutting measures to rationalise operating and personnel expenses across all group entities, and not just at the holding company.
A core operating committee has also been formed under Vice-Chairman and Managing Director Vineet Nayyar.
The seven member board was set up after the Ministry of Corporate Affairs moved the National Company Law Tribunal to fire the company’s then management.
The National Company Law Tribunal (NCLT) has reserved its order on a plea by the Corporate Affairs Ministry to grant a moratorium of 90 days to 348 group companies of IL&FS.