DCM Financial Services Limited, a non banking finance company (NBFC) belonging to a large industrial house of North India, had to undertake a restructuring exercise in view of financial constraints that were permeating the entire NBFC industry in the late 1990s. Besides they also faced innumerable problems of accounting and reconciliation of their liabilities and assets. These comprised of fixed deposits and debentures received from thousands of investors, inter corporate borrowings and lending, and investments in shares and securities. We began the assignment by making the voluminous database as accurate as possible within the very short period at hand. We also made out the basic restructuring proposal according to different parameters that gave the company a clearer understanding of options available.

Bharat Berg Limited, Kanpur, an industrial city about 350 kms from Delhi, was a manufacturer of galvanised CR sheets used in construction and appliances. We were retained to assist in negotiations with all the financial institutions and banks and thereafter to finalize the rehabilitation proposal of the company. We have represented the company at all forums, namely insolvency courts and superior courts thereafter. Unfortunately, the negotiations with the institutions could not be concluded due to severe recession in the Indian steel industry in 1996-98 period. The lenders could not reach a consensus and the debt had mounted to Rs. 800 million. The company could not be revived.

Presently (May 2001), we are assisting Absolute Aromatics Limited in their rehabilitation efforts. The company is engaged in manufacture and export of menthol and related products. The case is presently under progress.