National Asset Reconstruction Co Ltd (NARCL)— or the bad bank — has evinced interest in the loan accounts of Srei group companies, which are undergoing a corporate insolvency resolution process, a top official of a PSU bank said.

The development comes at the time the resolution is at an advanced stage, and financial bids are expected to be submitted by August 10 for taking over Srei InfrastructureFinance Ltd (SIFL) and SreiEquipment Finance Ltd.

“We have received preliminary interest from NARCL on taking over the Srei account. We will discuss this at the joint lenders meeting on August 8,” UCO Bank MD and CEO SomaShankara Prasad said.

The total liabilities of Sreistood at around Rs 32,000 crore from all sources, including banks, debentures and external commercial borrowing, officials said. The company has made cash recovery and upgradation of NPA accounts worth Rs 5,000 crore since an RBI-appointed administrator started looking into the affairs of the firms, they said.

“There will be no impact on the ongoing IBC-led resolution process even if existing lenders/banks assign or sell out loans to any other institution, including asset reconstruction companies (ARCs),” Srei board administrator Rajneesh Sharma, who is also the resolution professional, said.

Srei officials said the total resolution amount is likely to be around Rs 10,000 crore.