 "Ericsson was opposed to RCom's move of undergoing insolvency proceedings as it would then have to let go of the money it had received")
The Insolvency and Bankruptcy Code’s journey so far has been a mixed bag. The steel sector turned out to be one of the major beneficiaries of the Code. But insolvency proceedings of large companies like Reliance Communications and Videocon have been derailed, in part due to litigation. The Reserve Bank of India’s move not allowing asset reconstruction companies to bid for stressed assets has further protracted the insolvency process.
A Reserve Bank of India (RBI) missive not permitting asset reconstruction companies (ARCs) to bid for bankrupt companies had derailed the insolvency process of Anil Ambani Group-owned Reliance Communications (RCom).
While
