The KV Kamath Committee, an expert panel appointed by the Reserve Bank of India (RBI), is due to submit its report this week with at least nine restructuring proposals including SP Group and Future Group companies, ET Now reported citing sources. The nine proposals reportedly account for a debt of over Rs 58,000 crore.
The nine companies, that the publication reported are SP Group, Future Retail, Future Entertainment, Future Lifestyle, Ambience Developers and Infrastructure, Patel Engineering, Hinduja National Power Corporation, ACB India and Metals and Minerals Trading Corporation (MMTC).
KV Kamath Committee was set up by the RBI to restructure corporate loans and submit their recommendations on sector-specific parameters and other considerations. The committee was also tasked with reviewing all large resolution plans under this recast scheme. Reportedly, the committee's term ended on June 30.
Kamath, a veteran banker, was most recently the head of the New Development Bank set up by the BRICS nations. He served as ICICI Bank’s MD & CEO from 1996 to 2009.
Last year, the committee had recommended financial ratios for 26 sectors that lending institutions can follow while forming a resolution framework.
On April 18, the Board of Future Retail approved a resolution plan to restructure secured financial debt from the company’s bankers. It had targeted to execute the plan by April 26, 2021.
"The board of directors of the company, at its meeting held on April 17, 2021, has approved a resolution plan to restructure existing secured financial debt from the company’s bankers as permitted under the Reserve Bank of India’s Resolution Framework for COVID 19 related stress," the Kishore Biyani-led Future Retail had said in its stock exchange filing.
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