India's IL&FS unit chief resigns amid default crisis at group

MUMBAI, Sept 22 (Reuters) - IL&FS Investment Managers, a unit of India’s Infrastructure Leasing & Financial Services (IL&FS) which announced debt defaults this week, said on Saturday its Managing Director Ramesh Bawa had resigned.

IL&FS has revealed a series of delays and defaults on its debt obligations and inter-corporate deposits in recent days and ICRA cut the rating on its 52.25 billion rupees ($719.50 million) non-convertible debentures to ‘BB’ or “under watch for developing actions.”

The company did not explain the reason for Bawa’s resignation.

Separately on Saturday, another unit, IL&FS Transportation Networks, said it moved its chief financial officer, Dilip Bhatia, to the position of chief strategy officer, in order to focus on divestment of assets and other strategic initiatives.

Bhatia will relinquish his responsibilities as CFO with immediate effect and the company will look for a suitable replacement in due course, it said in a regulatory filing.

On Friday, IL&FS Financial Services, another unit of the IL&FS group, said its managing director and chief executive had resigned.

Reporting by Abhirup Roy Editing by Clelia Oziel