IFL Depositors Association meets to discuss repayment plan

The Depositors Association of Industrial Finance Ltd. will meet at the beginning of October to discuss repayment plans put forward by the company.

The finance company has written to the depositors saying they will repay 50% of the capital lost by issuing of nonvoting shares in the company and pay the balance 50% in cash repayments from 2013 to 2015.

The company proposes to repay 50% of the capital by paying 15% cash in 2013, 25% cash in 2014 and 60% cash in 2015. The company will repay four per cent interest in 2012.

The Depositors Association is an umbrella for 400 of the 4,000 depositors who are awaiting repayment of their capital and interest.

“Some of the depositors are satisfied with this repayment plan,” Ananda Gunasekera, the Secretary of the Industrial Finance Depositors Association said, adding that if the depositors were not satisfied with the repayment plan, they would revert to taking legal action and going to courts.

The association will meet at the Negombo branch of IFL on 1 October at 10 a.m. to accommodate customers from Negombo and at the Sanasa Building in Pirivena Road, Ratmalana on 2 October at 10 a.m.

Industrial Finance was established in 1962 and operates in Colombo and through four branches. Its product portfolio includes micro finance, leasing and hire purchase, foreign deposits, savings accounts, fixed deposits, real estate and pawning services.