The main lender to this NBFC has been way smarter than other lenders. While PSU banks recognized the exposure to this NBFC as NPA in Q2FY22 results, the primary banker to this NBFC has outsmarted all its peers. Word on street is that the loans given by the lender to the NBFC have been routed and deployed legally in the other entities where the payment was owed by the NBFC. Such was the routing, that the NBFC acted as a mere catalyst! Hence, while all other lenders are feeling the pain of this NBFC defaulting in Q2FY22, its primary banker, is seemingly at peace due to the fact that those companies (to which the money was transferred by the NBFC), owe money to the lender & not the NBFC. Hence, the risk of default is way lower for the primary lender of this stressed NBFC! Smart move, but a hard route taken by the lender!