ICICI Bank seeks buyers for Rs 338-crore exposure to Soma Infrastructure

In an bid dated September 20, the Hyderabad ‘B’ seat of the Income Tax Appellate Tribunal had said that Soma Infrastructure was a subsidiary of Soma Enterprise.

ICICI Bank connected Monday sought expressions of involvement (EoIs) from plus reconstruction companies (ARCs) for its Rs 338-crore vulnerability to Soma Infrastructure. The plus is being offered connected a full-cash basis. Soma Infrastructure is simply a Hyderabad-based institution that owes ICICI Bank implicit Rs 149 crore successful main dues, and different Rs 189 crore successful accrued involvement and different charges.

In an bid dated September 20, the Hyderabad ‘B’ seat of the Income Tax Appellate Tribunal had said that Soma Infrastructure was a subsidiary of Soma Enterprise. “…it is wide that assessee is simply a subsidiary institution and assessee has diverted the funds sanctioned by ICICI Bank to the measurement down subsidiaries i.e. Beta Infratech P. Ltd. and Soma Jabalpur Rewa Tollway Pvt. Ltd.(SPV),” the tribunal observed successful the order.

The tribunal further said that Soma Infrastructure is simply a institution incorporated and progressive successful providing consultancy services to its genitor institution and has nary different concern connections with the different step-down subsidiaries of Soma Enterprise, but related concern. “The assessee was utilised by the genitor institution to root the funds from the slope aft giving the required slope guarantee. “The funds were utilised by the measurement down companies and we announcement that assessee has precocious to M/s Beta Infratech arsenic agelong word unsecured loan,” the bid said. The funds were utilised successful the concern for the intent of making payments for fixed assets and superior work-in-progress. At the aforesaid time, Soma Jabalpur Rewa Tollway received the indebtedness from Soma Infrastructure and diverted it to the holding company, the appellate tribunal said.

In February this year, lenders to the genitor institution Soma Enterprise, led by State Bank of India, had besides initiated the process for selling their loans. The loans to this institution stood astatine Rs 2,099 crore arsenic connected March 31, 2020, portion investments successful it were to the tune of Rs 1,345 crore.