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Kingfisher has not sought any fresh money: SBI

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Press Trust of India Mumbai
Last Updated : Jan 21 2013 | 12:53 AM IST

State Bank of India, which has an exposure of Rs 1,400 crore to debt-ridden carrier Kingfisher, today said the airline is not a defaulter and it has not sought any fresh credit.

"Last week, we (bankers) took stock of things and the company had a board meet yesterday. After that, the company has not requested for any money," State Bank of India (SBI) Chairman Pratip Chaudhuri told reporters on the sidelines of an event here.

"Unless the company asks for money, you cannot push it down its throat," he said.

When asked if there are worries over repayment by Kingfisher Airlines he said, "No, none whatsoever, no not at all."

Earlier in the day, airline promoter Vijay Mallya, when asked how much working capital would the airline need, said, "We require Rs 700-800 crore, which includes both fund and non-fund based.... We have pursued every opportunity to raise capital."

Chaudhuri also clarified that banks Managing Director Hemant Contractor's remarks yesterday that the Rs 800 crore capital infusion for fresh lending was a part of an earlier arrangement.

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When asked if the overall situation of the airline is a concern for him, Chaudhuri said, "Not particularly...At least there is no crisis precipitated on the banking side."

Asked if a fresh round of restructuring is coming, he said, "There is no restructuring being considered. Restructuring is only in imagination. The company is not in default, the company has not made any request, so where is the question of restructuring?," Chaudhuri said.

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First Published: Nov 15 2011 | 5:23 PM IST

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