PF money is very important for any employee. In fact, the amount deposited in the PF account is a great way to secure the future of the employed people. In this post, we’ll figure out why you should be worried about your account. Stay connected to us to get the full information.
NEWS – (February 2019)
Funds Invested in IL & FS Group
Yes, Most of your PF and Pension fund accounts have been invested in subsidiaries of debt-burdened Infrastructure Leasing and Financial Services (IL & FS) group.
According to the media report on behalf of the PPF, A petition has been filed in the National Company Appellate Tribunal (NCLAT).
It has been said in the petition that they’re afraid of losing the money because the bonds under which it was invested come under unsecured loans.
IL & FS Condition Was Quite Accurate Back Then
This amount was imposed when the IL & FS condition was quite accurate and it got a Triple-A (AAA) rating for a secure investment. But now these companies are on the verge of being bankrupt right now.
There is a loan of Rs 91,000 crore for 133 subsidiaries of this group.
The government had taken IL & FS control over last year. Earlier, in 2009, the government took over Satyam Computer.
Among all these, a committee of Parliament has suggested the formation of an inquiry commission to look into the role of IL & FS crisis and the credit lending agencies (CRAs).
A committee headed by senior Congress leader Veerappa Moily has said in the report to the Parliament that the inquiry commission will investigate the role of the CRA.
The role of institutional shareholders of IL & FS, including the Life Insurance Corporation of India, will also be examined. In this group, there is 25.34 per cent and 6.42 per cent share of the government companies, Life Insurance Corporation (LIC) and SBI respectively.