question_answer

Direction: Read the given passage carefully and answer the questions that follow:

In the late 19th century, John Pierpont Morgan attained legendary status by presiding over the restructuring and consolidation of the American railroads, steel and electrical equipment industries. As financier to these businesses, he forced mergers among them as a means to eliminate cut-throat competition and restore viability of operations. When some railroad promoters objected to this banker control of their lines, Morgan famously retorted, "Your roads! Your roads belong to my clients (i.e. depositors)".

Something similar seems to be underway here as well, with bankers beginning to assume more-than-usual interest in the distressed businesses they have lent money to. The Government of India's recently approved financial restructuring plan for State power distribution companies or Discoms was prompted no less by lender concerns. Roughly three-fourths of the Rs 2.5 lakh crore accumulated losses of these utilities have been funded by banks and financial institutions. The scheme envisages rescheduling of the Discoms' outstanding short-term liabilities, conditional upon their implementing reforms leading to improved operational performance and debt servicing capacity Moreover, the State-level monitoring committees to oversee adherence to the mandatory conditions are to have significant banker representation.

Financial restructuring plan for State power distribution companies or Discoms envisages which of the following?

 

A)  Rescheduling of the Discoms? outstanding short-term liabilities

B)  The State-level monitoring committees to oversee adherence to the mandatory conditions

C)  The State-level monitoring committees to have significant banker representation

D)  All of these

E)  None of these