As per an earlier agreement, the lenders of the company have entered into an Inter-Creditor Agreement for arriving at the debt resolution plan in accordance with the circular dated June 7, 2019 issued by the Reserve Bank of India on Prudential Framework for Resolution of Stressed Assets.
This has resulted in delay in debt servicing by the company, it added.
Of the loan default dated February 8, 2020, the disclosure of which was made on March 10 to the exchanges, Rs 40 crore is towards principal and Rs 0.08 crore as interest to its lender Punjab and Sind Bank.
It also said that the total borrowing from banks and financial institutions stands at Rs 3,921 crore (with interest).
The total financial indebtedness of the company, both short term and long term borrowings, is Rs 12,036 crore including interest accrued.
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