The RBI recently superseded the boards of Srei Infrastructure Finance and Srei Equipment Finance. These firms will now be taken up for insolvency proceedings. While the situation is still developing, we delve into the background of the family behind the business and how the crisis unfolded.
The owners of Srei Infrastructure are Kolkata-based Kanorias. The family has put in place a holding structure whereby all its companies are held by a trust, the Kanoria Foundation.
The foundation's trustees include the family patriarch, H P Kanoria, and his four sons – Hemant, Sanjeev, Sunil and Sujit.
The Kanorias have business interests that span across finance, power, education, technology, media and healthcare.
Last reported in 2017, the Kanoria Foundation's asset base was worth about 10 billion dollars.
There are three major listed companies that are held by the trust. These are Srei Infrastructure, which is the financial services vertical, India Power, which is the power sector arm, and Shristi Infrastructure Development, which is a housing and hospitality venture.
Srei Infrastructure is the holding company of Srei Equipment Finance.
Hemant Kanoria was earlier the chairman and managing director of Srei Infrastructure, while Sunil Kanoria was the company's vice-chairman.
Sanjeev Kanoria is a doctor by profession and runs a healthcare venture in the UK. And, Sujit Kanoria is the MD of Shristi Hotel.
Listen to this podcast for more details from Ishita Ayan Dutt about the family and its business interests.
SREI has a total outstanding debt of Rs 30,000 crore. Of this, up to Rs 20,000 crore is with 15 commercial banks, which include State Bank of India, Axis Bank, and UCO Bank, among others.
 "The Kolkata-based family behind Srei Infrastructure")
