Lok Sabha Question No. 1012 (UNSTARRED), answered on 2016-04-29
Subject: Corporate Debt Restructuring
Ministry: CORPORATE AFFAIRS
Asked by: M. B. RAJESH

## GOVERNMENT OF INDIA MINISTRY OF CORPORATE AFFAIRS

## LOK SABHA

UNSTARRED QUESTION NO. 1012

ANSWERED ON FRIDAY, APRIL 29 TH , 2016/

VAISAKHA 9, 1938 (SAKA)

## CORPORATE DEBT RESTRUCTURING QUESTION

1012. SHRI M. B. RAJESH:

Will the Minister of CORPORATE AFFAIRS

be pleased to state:

- (a)  whether  the  Government  has  undertaken  any  steps  on  corporate  debt restructuring during the last two years;
- (b) if so, the details thereof; and
- (c) whether the Government follows a transparent procedure and mechanism for corporate debt restructuring?

## ANSWER

THE MINISTER OF CORPORATE AFFAIRS                    (SHRI ARUN JAITLEY)

कारपोरेट कार्य मंत्री                                                                                                                      (श्री अरुण जेटली)

- (a)  to  (c):-  The  Corporate  Debt  Restructuring  (CDR)  mechanism  is  an organizational framework institutionalized for speedy disposal of restructuring proposals  of  large  borrowers  availing  finance  from  more  than  one  bank/ Financial  Institution  (FI).      This  mechanism  is  available  to  all  borrowers engaged in any type of activity subject to the following conditions:-
- (i)  The  borrowers  enjoy  credit  facilities  from  more  than  one  bank/FI  under multiple banking/syndication/consortium system of lending.
- (ii) The total outstanding (fund-based and non-fund based) exposure is Rs. 10 crore or above.

CDR system in the country has a three tier structure consisting of CDR Standing  Forum  and  its  Core  Group,  CDR  Empowered  Group  and  CDR  Cell,

कारपोरेट कार्य मंत्री

which are housed in the Industrial Development Bank of India Ltd. Details of cases taken up for consideration by the CDR Cell and their disposal status during  the  period  March  2010  to  December  2015  are  given  in  the  table  at Annexure.

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## Annexure

## ANNEXURE REFERRED TO IN REPLY TO PART (a) TO (c) OF LOK SABHA UNSTARRED QUESTION NO. 1012 FOR 29.04.2016

## CORPORATE DEBT RESTRUCTURING CELL PROGRESS REPORT (As on Dec 31, 2015)

(Rs. in Crore)

| Period   | Total References Received by CDR Cell   | Total References Received by CDR Cell   | Cases Rejected before Admission or Approval   | Cases Rejected before Admission or Approval   | Cases under consideration of CDR EG   | Cases under consideration of CDR EG   | Total Cases Approved   | Total Cases Approved   |
|----------|-----------------------------------------|-----------------------------------------|-----------------------------------------------|-----------------------------------------------|---------------------------------------|---------------------------------------|------------------------|------------------------|
|          | (1)                                     | (1)                                     | (2)                                           | (2)                                           | (3)                                   | (3)                                   | (4)                    | (4)                    |
|          | No. of cases                            | Aggregate Debt                          | No. of cases                                  | Aggregate Debt                                | No. of cases                          | Aggregate Debt                        | No. of cases           | Aggregate Debt         |
| Mar- 10  | 256                                     | 115990                                  | 32                                            | 7050                                          | 9                                     | 4641                                  | 215                    | 104299                 |
| Mar- 11  | 305                                     | 138604                                  | 42                                            | 9667                                          | 21                                    | 18023                                 | 242                    | 110914                 |
| Mar- 12  | 392                                     | 206493                                  | 59                                            | 20817                                         | 41                                    | 35161                                 | 292                    | 150515                 |
| Mar- 13  | 521                                     | 297990                                  | 87                                            | 36894                                         | 33                                    | 32083                                 | 401                    | 229013                 |
| Mar- 14  | 622                                     | 429989                                  | 111                                           | 57540                                         | 35                                    | 42005                                 | 476                    | 330444                 |
| Sep- 14  | 638                                     | 446156                                  | 121                                           | 65581                                         | 12                                    | 12968                                 | 505                    | 367607                 |
| Dec- 14  | 647                                     | 452940                                  | 122                                           | 65925                                         | 5                                     | 6130                                  | 520                    | 380885                 |
| Mar- 15  | 655                                     | 474002                                  | 125                                           | 70998                                         | -                                     | -                                     | 530                    | 403004                 |
| Jun- 15  | 655                                     | 474002                                  | 125                                           | 70998                                         | -                                     | -                                     | 530                    | 403004                 |

| Sep- 15   |   655 |   474002 |   125 |   70998 | -   | -   |   530 |   403004 |
|-----------|-------|----------|-------|---------|-----|-----|-------|----------|
| Dec- 15   |   655 |   474002 |   125 |   70998 | -   | -   |   530 |   403004 |

(Source: CDR Cell)

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