Govt moves to re-open IL&FS group's balance sheets for suspected corruption

The Serious Fraud Investigation Office (SFIO) found details of alleged corruption, personal enrichment and other non-transparent deals in debt-ridden IL&FS.

The corporate affairs ministry on Thursday moved the National Company Law Tribunal (NCLT) seeking to reopen the books of debt-ridden IL&FS Group and its subsidiaries for the past five years to probe financial mismanagement.

The government for the first time invoked the powers under Section 130 of the new Companies Act of 2013 to reopen ledgers of a company.

The government will check the balance sheets of crippled group and two listed subsidiaries--ITNL and IL&FS Financial Services--after the Serious Fraud Investigation Office (SFIO) found details of alleged corruption, personal enrichment and other non-transparent deals.

The NCLT, however, refused to pass