MTNL defaults on Rs 5,726 crore loans

NEW DELHI: Loss-making state-owned telecom firm

MTNL

has defaulted on a total payment of Rs 5,726 crore, comprising a principal amount of Rs 5,492 crore raised from various banks and an interest of Rs 234 crore, the company said in a regulatory filing. The company shared that its total financial debt now stands at Rs 32,097 crore. Telecom minister Jyotiraditya Scindia on Tuesday said that there is no insecurity about the debt raised by MTNL as it is backed by a sovereign guarantee and the company’s business will be transferred to BSNL.