In a first, IL&FS group's Tamil Nadu thermal power unit taken to NCLT

The power company reported a loss of nearly Rs 2.4 bn on a revenue of Rs 30.3 bn as of the end of March

Bankruptcy proceedings have been instituted against an IL&FSgroup company, a Tamil Nadu-based thermal power unit, for the first time since the recent crisis broke out. Lenders to the entity have taken it to the National Company Law Tribunal (NCLT), after it defaulted on loan payments.

Lenders said the company has moved the Madras High Court against the move and a decision is expected next week. The parent company, IL&FS itself, is facing a massive cash crunch and will default on loan repayments by this month-end, unless its shareholders come forward with cash by way of equity or debt infusion. 

IL&FS