New Delhi, Feb. 17 -- In the second week of December, a Delhi-based investor had a call with the management of AGS Transact Technologies Ltd, the country's second-largest manager of automated teller machines catering to over 32,000 ATMs.

Saurabh Lal, AGS's chief financial officer, and Vinayak Goyal, the head of the payments business, represented the management. Goyal's father, Ravi Goyal, the chair and managing director, had set up AGS in 2002.

"It was a surreal call - the management kept trying to pitch a payments story," the investor told Mint on the condition of anonymity. "Our channel checks showed that the company faced serious liquidity problems, like non-payment of salaries and vendor dues," the investor said, adding that the com...