Debt-ridden Future Enterprises Ltd (FEL) on Friday said it has defaulted on payment of interest on non-convertible debentures (NCDs) totalling Rs 8.98 crore.
This is the second default by FEL this week. Earlier on Wednesday, FEL had said it has defaulted on payment of interest on NCDs totalling Rs 9.16 crore.
The due date for payment for the latest default was October 13, 2022, FEL said in a regulatory filing. "The Company is unable to service its obligations in respect of the interest on Non-Convertible Debentures was due on October 13, 2022," it said.
FEL has defaulted on interest payments for the period from April 13, 2022, to October 12, 2022. The total principal amount of the securities issued was Rs 112 crore.
The debt-ridden Future group firm has committed several defaults in the last six months. It is also facing three petitions filed by its operational creditors before the National Company Law Tribunal (NCLT) to initiate insolvency proceedings against the company.
Lenders of FEL have also appointed an auditor for conducting a forensic audit of the firm. It is engaged in the business of manufacturing, trading, leasing of assets and logistics services. It used to develop, own and lease the retail infrastructure for the Future Group.
FEL also holds the group's investments in subsidiaries and joint ventures including in sectors like insurance, textile manufacturing, supply chain and logistics.
It was part of the 19 group companies operating in the retail, wholesale, logistic and warehousing segments which were supposed to be transferred to Reliance Retail as part of a Rs 24,713-crore deal announced in August 2020.
