RBI supersedes boards of Srei Infrastructure Finance, Srei Equipment Finance

The Reserve Bank of India has superseded the Board of Directors of Srei Infrastructure Finance Ltd (SIFL) and Srei Equipment Finance Ltd (SEFL), owing to governance concerns and defaults by the companies in meeting their payment obligations.

Rajneesh Sharma, Ex- Chief General Manager, Bank of Baroda, has been appointed the administrator of the companies under Section 45-IE (2) of the RBI Act.

“The Reserve Bank also intends to shortly initiate the process of resolution of the two NBFCs under the Insolvency and Bankruptcy (Insolvency and Liquidation Proceedings of Financial Service Providers and Application to Adjudicating Authority) Rules, 2019 and would also apply to the NCLT for appointment of an administrator as the Insolvency Resolution Professional,” RBI said in a statement