Lenders open to FRL resolution under June 2019 rules, subject to SC ruling

Lenders to troubled retail chain Future Retail Ltd (FRL) could consider any restructuring proposal from the company management under prudential framework for resolution of stressed assets put in place in June 2019 by Reserve Bank of India. This is subject to proceedings in the Supreme Court where the company sought 10 days’ time to work out a settlement.

Such an option (resolution under June 2019 norms) could make room for a six-month resolution and create prospects of upgrading the account based on performance.

A senior banker said the FRL case was recast under a regulatory package put in place in