The IL&FS mess

Audit report shows collapse of governance norms

The new board of Infrastructure Leasing and Financial Services Ltd (IL&FS) has reportedly sent show-cause notices to as many as 14 former directors of IL&FS Financial Services Ltd (IFIN), asking why criminal action should not be taken against them in the light of an interim report submitted by Grant Thornton. The accounting firm had conducted a forensic audit of 12 companies, including IL&FS Ltd and IFIN, for the review period April 2013 to September 2018. The former directors have been charged with “facilitating money laundering,” sanctioning loans without any security and “conspiracy and getting unlawful gains,” among others. In its