declared a wilful defaulter, it loses access to finance from other banks and financial institutions. Further, promoters of such companies cannot be given fresh funds for five years to start a new venture. Lenders can also initiate criminal proceedings, if necessary, against the guarantors and companies or seek a change in management.
Recent Wilful Defaulters
Bombay Rayon: 4,500*
Deccan Chronicle Holdings: 4,000
* In the process of being named wilful defaulters
(In Rs crore)