New Delhi, Jul 18 (IANS): IL&FS has completed first phase of forensic audit on credit rating agencies (CRAs) engaged with Group Companies in the last ten years.

The audit evaluates the role of CRAs in rating various debt instruments and facilitating excessive borrowings from money markets across group companies that eventually led to defaults.

The Board had appointed Grant Thornton to undertake this forensic audit on CRAs and submit the report in a time-bound manner. Grant Thornton has submitted its findings in the interim report to IL&FS.

The report has been shared with relevant stakeholders, sector experts, and legal teams for information, consultation and opinion.

The mandate for the forensic report was to audit the role of CRAs and discover any possible wrongdoings in rating IL&FS group companies during 2008-2018.

The report has analyzed several email communications between the erstwhile management and the representatives of credit rating agencies during the specified period.

CARE, ICRA, India Ratings and Brickwork have been the main rating agencies for ITNL, IFIN and IL&FS during the period reviewed by Grant Thornton.

Brickwork was introduced in ITNL and IFIN from 2016, replacing CRISIL, during this period under review.