Bankruptcy

Bankruptcy in the name of efficiency

Government, these books say, has been remarkably supportive of an industry that has helped hasten downward mobility and widen economic inequality

US-based firm Pear Therapeutics files for bankruptcy, lays off workers

US-based firm Pear Therapeutics has filed for Chapter 11 bankruptcy as it struggled to get insurers to pay for its technology and laid off 92 per cent of its workforce

Reliance Capital resolution process deadline likely to be extended again

Deadline for resolution process ends on April 16; matter goes under litigation as one bidder moves court

Richard Branson's Virgin Orbit files for bankruptcy, lays off 85% workforce

Virgin Orbit, the rocket company founded by British billionaire Richard Branson, has filed for bankruptcy after announcing to lay off 85 per cent of its employees.

Bankruptcy resolutions yielding lower realisations, taking longer: Report

Bankruptcy cases are taking longer to resolve and yielding lower values for lenders, a credit rating agency analysis said on Monday. The average number of days taken to close a case either through a resolution process or liquidation was at its highest at 588 days for financial creditors if one were to look at official data for the first nine months of the current fiscal, it said, adding that it was 531 days in FY22 and 463 days in FY21. The agency analysed official data released by the Insolvency and Bankruptcy Board of India to arrive at its findings. The stretched timelines have resulted in admissions outpacing case closures every year since FY18, India Ratings and Research said, adding that the only exception to this was FY21 where admission of cases got restricted on account of the pandemic. As against the 270 days stipulated in the Insolvency and Bankruptcy Code, the timeline for the Corporate Insolvency Resolution Process (CIRP) overshoots the mandatory timeline in 63 per cen

India asks state-run banks to monitor top loan accounts strictly: Reports

Indian banks, in the past, have had to take deep haircuts on their exposure to debt-laden companies admitted under bankruptcy legislation

Silicon Valley Bank Financial must wait to get back $2 billion from FDIC

The FDIC's decision to lock down the $2 billion creates jeopardy in the bankruptcy case, said Tom Lauria, a lawyer representing a large bondholder, Appaloosa LP

SC refuses to stay NCLAT's order on second round of RCap auction

COC to meet today, second auction likely to be held on March 29, say lawyers privy to the matter

SVB Financial seeks bankruptcy protection as banking turmoil persists

Shares of big US banks fell between 1.5% and 2% in premarket trading on Friday

NSE removes Zee Entertainment from F&O segment post insolvency fallout

"No fresh month contracts will be issued on the expiration of February 2023 contracts," the exchange says in a circular

Zee's Goenka moves NCLAT to challenge admission of bankruptcy proceedings

Zee Enterprises' managing director and chief executive Puneet Goenka on Thursday moved appellate tribunal NCLAT challenging the order of the National Company Law Tribunal which admitted an IndusInd Bank plea for insolvency proceedings against the firm. The appeal seeking relief against the National Company Law Tribunal's Mumbai bench order was filed by Goenka in the National Company Law Appellate Tribunal (NCLAT) on Thursday, as per an official statement from the company. "Goenka is taking all the necessary steps as per law to protect the interests of all stakeholders of Zee Entertainment Enterprises (ZEEL) and to achieve a timely completion of the proposed merger with Culver Max Entertainment," the statement said. A division bench of judicial member H V Subba Rao and technical member Madhu Sinha had on Wednesday admitted the plea by private sector lender IndusInd Bank and also appointed Sanjeev Kumar Jalan as the resolution professional in the matter. The matter pertains to a defa

Bankruptcy cases rise 25% in Q3; recovery lowest at 23.45%: Care Ratings

The number of insolvency cases increased 25 per cent in the December 2022 quarter, while recovery of debt through the process remained the lowest at 23.45 per cent during the period, an analysis showed. While the number of insolvency petitions increased by a steep 25 per cent, the overall recovery rate till the third quarter of FY23 was just 30.4 per cent, implying a haircut of 69.6 per cent. The cumulative recovery rate has been on a downtrend, decreasing from 43 per cent in Q1FY20 and 32.9 per cent in Q4FY22, according to an analysis of the latest numbers of insolvency board IBBI carried out by Care Ratings. However, the Q3FY23 recovery was the lowest at 23.45 per cent, it said. Sanjay Agarwal, a senior director with the agency, said this steep fall has been due to the fact that most of the larger resolutions have already been executed and a significant number of liquidated cases are either BIFR (Board for Industrial and Financial Reconstruction) cases and/or defunct with high ...

165 IBC liquidation cases saw 94% asset value erosion since 2016: Report

It is surprising as the lenders mostly lend loans keeping in mind the margin and the promotor's contribution

Already defaulted, we're a bankrupt nation: Pakistan defence minister

The minister said that most of his time had been spent in the opposition camp and that he has witnessed politics being disgraced for the past 32 years

India's mid, long-term outlook very strong: PwC Chairman Bob Moritz

"Corporate bankruptcies are likely to significantly increase in G7 (nations) in the short-to-medium-term as the global economy slows down"

NCLAT rejects bankruptcy board's plea against telecom tower firm GTL Infra

Corporate debtor's business is sustainable and it is a viable going concern, NCLT had ruled

NCLT's final order on bankrupt Reliance Capital bid by next week

The matter is reserved for judgment and the NCLT Bench mentioned that the order will be issued next week

US Crypto lending firm Genesis files for Chapter 11 bankruptcy protection

Crypto lending company Genesis is seeking Chapter 11 bankruptcy protection as faltering prices and the downfall of FTX continue to rattle the industry. Genesis Global Holdco LLC and two of its lending business subsidiaries, Genesis Global Capital LLC and Genesis Asia Pacific Pte. Ltd., filed for bankruptcy protection in the Southern District of New York. Genesis said that its other subsidiaries involved in the derivatives and spot trading and custody businesses and Genesis Global Trading are not included in the filing and continue client trading operations. Genesis said that it has more than $150 million in cash on hand, providing ample liquidity to support its ongoing business operations and facilitate its restructuring. Last week the Securities and Exchange Commission went after Genesis Global Capital and the crypto exchange Gemini, alleging that they were selling unregistered securities through a popular program that was supposed to give high interest payments on crypto ...

FTX assets: Lawyers located billions in cash and crypto located

In just three years, FTX, founded by Sam Bankman-Fried, had swiftly put money into a hodgepodge of assets

No change in NPV for Reliance Capital, 'number sacrosanct': Torrent

Company goes to NCLT after Hinduja group makes post-auction offer for bankrupt financial services firm