Last month, the infrastructure development and finance group quietly appointed former department of financial services secretary M Nagaraju as chairman and managing director (CMD) for a term of two years. However, the road ahead could be a rough one for Nagaraju. He has to decide what to do with 62 entities from the IL&FS stable, the choice being to either close them down or seek approvals for their sale.
So far, the ILF&S rescue has been one of the smoothest bankruptcy processes India has seen, which has led officials to believe that the eventual redemptions to lenders could exceed the commitments stated in successive court depositions.
“We expect to pay back at least 10 per cent more than the ₹61,000 crore we have…