IL&FS Engineering reports significant default on bank loans

IL&FS Engineering and Construction Company Limited (IL&FS Engineering) reported defaults on loan repayments and interest, as per a disclosure dated October 7, 2025. The company stated that as of September 30, 2025, the total outstanding amount for loans and revolving facilities from banks and financial institutions was INR 2,627.85 crore. The entire outstanding amount was in default.

However, the company reported NIL outstanding for unlisted debt securities, including NCDS and NCRPS, indicating no defaults in this category. The total financial indebtedness of the listed entity, encompassing both short-term and long-term debt, stood at INR 3,097.41 crore.

IL&FS Engineering clarified that no interest is being accrued or provided post the cutoff date, as defined by a National Company Law Appellate Tribunal order dated March 12, 2020, except for interest on Funded Interest Term Loan (FITL).