Defaulting NBFCs refuse to continue rating

Defaulting NBFCs refuse to continue rating
ENS ECONOMIC BUREAU

SEPT 21: The Crisil has also suspended the rating assigned to the fixed deposit programmes of Enarai Finance Ltd and DSJ Finance Corporation Ltd. ``These companies have virtually stopped operations. They have also defaulted on their FD repayment commitments,'' said a banker.

The `FD' rating assigned to the programmes of these DSJ and Enarai has been suspended due to lack of co-operation from them for carrying out a review, Crisil said.

Meanwhile, ICRA, another leading rating agency, has downgraded the rating assigned to the non-convertible bonds of Global Infrastructure and Technologies (the erstwhile Mantri Housing and Construction) from MB- with rating watch to MD indicating default.

The earlier rating indicated inadequate safety. ICRA has said that the company is unlikely to repay the bonds on the due date. The downturn in the real estate and housing construction had impacted the revenues and cash flows of the company.