Future Enterprise Ltd (FEL) has defaulted on repayment of Rs 2,911.51 crore of loans to its lenders, missing 30 days of review period.
The company was required to pay an aggregate amount of Rs 2,911.51 crore between March 23 and March 31, 2022, to various consortium banks and lenders, a regulatory filing said.
The Kishore Biyani-led Future group had a review period of 30 days as per the scheme of One Time Restructuring (OTR) for COVID-hit companies with its consortium of banks.
"The Company was unable to discharge the above Obligations to Banks / Lenders under the review period of 30 days, as the Company was not able to complete the monetization of the specified investments as contemplated in OTR Plan (as defined the said Agreement), on Due Dates," said a regulatory filing from FEL.
The filing showed that it defaulted on payments on March 31.
FEL's total financial Indebtedness of the listed entity including short-term and long-term debt is Rs 6,778.29 crore, the filing added.
Earlier on April 1, FEL had informed the exchanges about the default but had said it has a 30 days grace period.
"The Company has a review period of 30 days (from the above Due Date) in terms of the RBI circular dated 06th August 2020 and further in terms of provision of the above Agreement to make the payment of the above amount due to identified bankers/lenders," FEL had said adding it "shall intimate the further development and updates in this connection as and when applicable."
On Friday, FEL had informed 99.97 per cent of its secured creditors had voted against the scheme to sell Future group's - retail, wholesale, logistics and warehousing assets to Reliance Industries' retail arm.
Following this Reliance Industries on Saturday said the transaction cannot go ahead as secured creditors have voted against it.
As per the scheme between Future Group and Reliance Retail, 19 companies of the former were proposed to be consolidated into one entity -- Future Enterprises Ltd (FEL)-- and then transferred to Reliance Retail Ventures Ltd (RRVL).
RRVL is the holding company of all the retail companies under the RIL Group.
Another Future group firm Future Retail Ltd (FRL) had also informed on April 1, the due date for repayment of Rs 5,322.32 crore to lenders on account of the ongoing litigations with e-commerce major Amazon and other related issues.
Last week, public sector lender Bank of India moved the Mumbai bench of NCLT seeking insolvency proceedings against FRL and to declare a moratorium over the assets.