Page 4 - Ibbi

MCA is working to issue code of conduct for creditors under IBC: Verma

This comes a month after a Parliamentary panel flagged the "disproportionately large and unsustainable 'haircuts' taken by the financial creditors over the years"

'IBC is a road under construction,' says IBBI chairperson M S Sahoo

Referring to the pre-pack scheme of insolvency resolution for micro, small and medium enterprises (MSMEs), he says it takes three-six months for the market to understand a new framework

CoCs need best practices code

'The delay in insolvency case resolution is another problem area where CoCs need to play a more proactive role', says the author

NSE, IBBI ink pact for research collaboration

Leading stock exchange NSE on Friday said it has joined hands with the Insolvency and Bankruptcy Board of India (IBBI) for research collaboration. The objective of the collaboration is to create a research ecosystem in the area of insolvency and bankruptcy in the country, the exchange said in a statement. It further said that an efficient insolvency and bankruptcy resolution system enables timely resolution of financial stress, balances interests of all stakeholders, promotes entrepreneurship and increases availability of credit at optimal costs. This, in turn, improves growth prospects and builds institutional strength in an economy. IBBI is a unique regulator, which regulates insolvency professionals as well as insolvency processes. Under this collaboration, NSE and IBBI will focus on enhancing the existing research efforts in the areas related to insolvency and bankruptcy in India, promoting studies that explore interlinkages between the development of the insolvency process, ..

Poor asset valuation, economic climate, NCLT delays see IBC losing favour

Less than 200 cases have been admitted to the National Company Law Tribunal till June after the suspension was lifted on March 24, revealed the Insolvency and Bankruptcy Board of India

Crackdown on erring insolvency professionals, IBBI sets hefty penalties

The Centre has proposed a crackdown on insolvency professionals that develop nexus with companies facing bankruptcy proceedings thereby delaying the resolution process

The other side of IBC

Any restructuring of stressed accounts outside the IBC would not look credible till the performance of PSBs improves

IBBI amends regulations for more transparency and accountability

Resolution professionals (RPs) will be required to inform the adjudicating authority about avoidance transactions of a corporate debtor

IBBI amends regulations for insolvency process to enhance transparency

Seeking to enhance transparency in insolvency process, IBBI has amended regulations for corporate insolvency proceedings

IBBI puts out Aadhaar, PAN info of creditors on website; removes them later

A senior official said the details came into the public domain "inadvertently" as the regulator is working on a beta project to host the information of creditors

Insolvency law changing the way society perceives biz failures, says Sahoo

Fuelled by a huge unsatiated appetite for freedom of exit, the insolvency law is changing the way the society perceives business failures according to IBBI Chairperson M S Sahoo.

We didn't expect flood of insolvency cases, says IBBI chairman M S Sahoo

He also said that not many applications had been filed under the prepackaged scheme brought in for micro, small and medium enterprises (MSMEs)

IBBI upholds resolution professionals' independence under pre-pack schemes

In regulations issued on the Ordinance on pre-pack resolution, the IBBI said an insolvency professional can be appointed as resolution professional if they are independent of the corporate debtor.

IBC in the slow lane: CIRP cases decline almost 12%, shows IBBI data

New corporate insolvency being at halt reflected in the continuing drop in the number of ongoing corporate resolution cases in the October-December period

Normalcy restored for resolution of stress under IBC: IBBI's M S Sahoo

IBBI Chairperson M S Sahoo on Thursday said "normalcy" has been restored with respect to resolution of stress under the insolvency law, with the expiry of suspension of fresh proceedings. After a year of relevant provisions being suspended amid the coronavirus pandemic, fresh proceedings under the Insolvency and Bankruptcy Code (IBC) can now be initiated. Certain provisions under the Code, which provides for time-bound and market-linked resolution of stressed assets, were suspended with effect from March 25 last year in the wake of the pandemic significantly impacting business activities. The suspension, which was in place for one year, ended on March 24. IBBI (Insolvency and Bankruptcy Board of India) Chairperson M S Sahoo on Thursday said three things are clear now. "On Tuesday, the Supreme Court cleared the haze around moratorium on loans. Second, the suspension on initiation of corporate insolvency proceedings in respect of COVID-19 defaults expired on Wednesday. Third, the ...

Liquidation an outcome of market forces: IBBI chairperson M S Sahoo

Sahoo was responding to the criticism that only 25 per cent of IBC cases end up in resolution while the remaining get liquidated

Ground ready for new options to resolve stressed assets: IBBI chief

The ground seems to be ready to experiment new options for resolution of stress and the market is anticipating a hybrid framework between a court-supervised insolvency framework and an out-of-court restructuring schemes, IBBI Chairperson M S Sahoo has said. In place for more than four years, the Insolvency and Bankruptcy Code (IBC) is helping in resolution of stressed assets in a market-linked and time-bound manner, and the proposal for "pre-pack" framework is also in the works. "Since some tasks of an insolvency proceeding are completed before the formal process begins, and some elements of formal process are avoided, pre-pack saves both on costs and time," Sahoo told PTI. The Insolvency and Bankruptcy Board of India (IBBI), a key institution in implementing the IBC, has also taken various steps to address difficulties of stakeholders concerned. According to him, insolvency regimes in most jurisdictions are not designed to address delinquencies arising from the COVID-19-like crisi

IBBI proposes mechanism to allow withdrawal from voluntary liquidation

The process to rescind would be the same as was followed to initiate it - approval by a special resolution, passed by members or partners

IBBI allows transfer of illiquid assets and debt for quicker case closure

The rules come at a time when the liquidation process takes much longer than envisaged under IBC

IBBI approaches SC to club all cases on personal guarantee pending in HCs

Top court likely to give its order on Thursday, has indicated it may transfer all cases to itself, according to a senior lawyer