The data show that Kerkar wrote to Global Aerospace the same day on ‘waiver of independent legal advice regarding personal guarantee’ with regard to the $2 million loan, saying “I am a sophisticated businessman and have given personal guarantees before.”
The ministry is of the opinion that there is a need for a rigorous regime for large unlisted companies, in contrast with the current light-touch regulation. There is a defined regime for listed companies, by the Securities and Exchange Board of India (Sebi). There is a view in the ministry that it needs to look at a framework for large unlisted companies, the senior official said.