IL&FS Transportation says it missed interest and part-principal payment on debentures
IL&FS Transportation Networks said in a filing with the National Stock Exchange that it could not pay Rs 69.67 lakh of interest and Rs 5.9 crore of principal on debentures due 30 October 2026.
Key points
- IL&FS Transportation Networks said in a filing with the National Stock Exchange that it did not pay interest and part principal due on 30 October 2026.
- The unpaid amounts are Rs 69,67,173 of interest and Rs 5,90,00,000 of principal on unsecured debentures with 44 investors.
- The company says an October 2018 order of the NCLAT bars it from paying creditors except under the interim distribution process the tribunal approved.
IL&FS Transportation Networks Limited said in a filing with the National Stock Exchange on 30 October 2026 that it was unable to pay interest and part of the principal due that day on one series of its non-convertible debentures. The unpaid amounts are Rs 69,67,173 (Rs 69.67 lakh) of interest and Rs 5,90,00,000 (Rs 5.9 crore) of principal. The company says a tribunal order stops it from paying creditors.
What Happened
The filing covers the company's unsecured, rated, listed, redeemable debentures in Tranche XX (Option II), called ITNL 27, with the ISIN INE975G08256. The company gave 30 October 2026 as the date of default and said 44 investors held the security on that date.
The debentures were issued for 10 years from a deemed allotment date of 30 October 2017, with a coupon of 9.37% a year paid quarterly. The security is unsecured. The company says the unpaid interest is for the 92 days from 30 July 2026 to 30 October 2026. The gross principal on which the default occurred is Rs 118 crore, which is also the total amount issued.
The filing lists payments already made to these debenture holders under what it calls the interim distribution process: a first cash payment of Rs 7,84,27,022 on 21 October 2023; a second cash payment of Rs 11,07,40,765 on 28 February 2025, plus units of Roadstar Infra Investment Trust worth Rs 6,69,79,672 on 10 March 2025; and a third cash payment of Rs 7,24,14,492 on 17 April 2026. It says the outstanding value of the debentures is reduced by these payments.
On the reason for non-payment, the company says that under an order of the National Company Law Appellate Tribunal dated 15 October 2018, "the Company has been prohibited from making payments to all its creditors." It adds that a further NCLAT order dated 11 February 2019 classified it as a 'Red entity' and confirmed that the moratorium has not been lifted or modified. The company says it cannot pay interest or principal on non-convertible securities "except as part of the Interim Distribution process approved by the NCLAT".
What It Means
This is a disclosure by the company, made under the stock exchange rules that require a listed company to report a payment default on listed debt. It is not a finding of wrongdoing by any authority.
For holders of these debentures, the filing says payments are possible only through the interim distribution process the tribunal has approved. The filing does not say when the next distribution will be made.
Oquilia Data: IL&FS Transportation Networks Ltd. (NSE: IL&FSTRANS)
| Close, 29 Oct 2026 | Rs 1.80 (+1.69% on the day) |
|---|---|
| Return 1M / 3M / 6M / YTD / 1Y | −5.26% / −18.18% / −25.31% / −37.93% / −40.20% |
| Against Nifty 50, 1M / 3M / YTD | −6.23 / −12.77 / −25.71 points |
| 52-week closing high / low | Rs 3.03 (3 Nov 2025) / Rs 1.77 (28 Oct 2026) |
| Turnover, 20-session average | Rs 0.01 cr; latest volume 0.7x |
Closes adjusted for splits and bonuses; returns exclude dividends. Facts from NSE's files, not investment advice.
Source: Company filing on NSE
Sources & Citations
- Company filing on NSE — National Stock Exchange of India