The Lahore High Court Chief Justice (CJ) Umar Ata Bandial on Tuesday was told the sale agreement of four units of Ittefaq Group has been finalised with Al-Rehmat Group. The CJ adjourned the hearing till Wednesday (today) of several petitions about sale of the Ittefaq Foundry's subsidiaries Ittefaq Brothers and Brother Steel Mill to adjust the billions of rupees unpaid loan. Representing the Sharif family, Ashtar Ausaf told the court that the Al-Rehmat Group would buy the units against Rs 6 billion and a schedule of payment had also been decided.

A consortium of eight banks had sanctioned a loan of Rs 3.11 billion to Ittefaq Group of industries between 1982 and 1998. In most cases the loan was not paid back and banks added the mark-up to the actual credit. An LHC single bench had accepted a petition of the banks for sale of Ittefaq Foundries, Brothers Steel at Kot Lakhpat, Ittefaq Brothers at Shahdara and Ilyas Enterprises at Bund Road Lahore. These units were surrendered by Nawaz Sharif's family against bank liabilities for adjustment of loan.

Copyright Business Recorder, 2014