Poonawalla Fincorp to clean up by shutting ops in elevated default areas

Adar Poonawalla backs former MD Bhutada, says he hasn't done anything, according to lawyers

As a step towards cleaning up, Poonawalla Fincorp Ltd (PFL), erstwhile Magma Fincorp, will shut some products and also operations which have shown defaults. Also, Adar Poonawala, it's chairman, will increase his involvement in working following the departure of its managing director Abhay Bhutada.

Poonawalla said he has given direction on 3-4 areas to the entire team. This includes focus to bring down the cost of funds – which has already happened and will continue to happen.

The company has got a better credit rating and looks to diversify products and sources from which the company borrows from between short-term