India's MTNL defaults on $1 billion of loans from seven public sector banks

India's Mahanagar Telephone Nigam NSE:MTNL has defaulted on loans totaling 85.85 billion rupees ($1 billion), the public-sector telecom firm said on Tuesday.

The loans were made by seven public sector, with Union Bank of India NSE:UNIONBANK and Indian Overseas Bank NSE:IOB having the biggest exposure, MTNL said in an exchange filing.

($1 = 85.8860 Indian rupees)