A file photograph of a person holding paper work. (Photographer: Krisztian Bocsi/Bloomberg)
In late January, a surprising bit of news emerged from India’s mutual fund industry. Some of the country’s most prominent mutual funds reached a ‘stand-still’ agreement with the Subhash Chandra-promoted Essel Group, which meant they would not sell shares of group companies pledged with them.Mutual funds had invested in bonds issued by the group’s promoter entities, backed by equity shares of listed group companies in the form of coll...