State Bank of India (SBI) has initiated Corporate Insolvency Resolution Process against infrastructure developer IVRCL Ltd.
The Bank has initiated the process under the Insolvency and Bankruptcy Code 2016 and filed an application under Regulation 7 of the Code with the National Company Law Tribunal (NCLT). The hearing on the application was held on January 8 and the orders were reserved, IVRCL said in a regulatory filing on Thursday.
According to the financial results for the quarter ended September, announced in November, the company had incurred net loss of ₹280.58 crore for the quarter. The accumulated losses stood at ₹2,708.74 crore resulting in erosion of its networth. In the notes accompanying the results, the company said it has obligations towards borrowings aggregating ₹5,556.38 crore.
