Page 3 - Latest Updates on IBC
Don't stretch your power beyond statute: NCLT chairperson cautions litigant
NCLT Chairperson R Sudhakar says tribunal must operate within IBC and Companies Act as BPSL liquidation returns to Delhi bench after Supreme Court's recent ruling
 "Don't stretch your power beyond statute: NCLT chairperson cautions litigant")
Big Four rejig IBC verticals with fewer insolvency cases getting filed
Between the June and December quarter of FY25, the number of insolvency applications initiated by financial creditors went down from 150 to 84
 "Big Four rejig IBC verticals with fewer insolvency cases getting filed")
BPSL case: JSW Steel likely to cite NCLT 2019 order in SC review plea
JSW Steel and lenders will move the Supreme Court after its verdict struck down the BPSL resolution plan, citing lack of Form H and equity infusion in the structure
 "BPSL case: JSW Steel likely to cite NCLT 2019 order in SC review plea")
Over 30K IBC cases settled pre-admission covering ₹13.78 trillion: Ibbi
Citing a study by IIM Ahmedabad, John said creditors in resolved cases realised 32 per cent of admitted claims and 168 per cent of liquidation value
 "Over 30K IBC cases settled pre-admission covering ₹13.78 trillion: Ibbi")
Best of BS Opinion: Of arbitration, agreements, and artificial intelligence
Our opinion page today makes a strong argument for better management of the arbitration process, as well as the precedent that the Supreme Court's judgement sets
 "Best of BS Opinion: Of arbitration, agreements, and artificial intelligence")
Top steelmakers likely to rebid for distressed Bhushan Power & Steel assets
SC's order to liquidate Bhushan Power may prompt renewed interest from top steel companies, but investor concerns grow over reversals of long-settled IBC deals
 "Top steelmakers likely to rebid for distressed Bhushan Power & Steel assets")
SC ruling on BPSL resolution may reset IBC process as JSW plans review plea
"No prudent resolution applicant would submit a plan if there remains a lingering fear that some state authority might overturn it decades later", says Former IBBI chairperson M S Sahoo
 "SC ruling on BPSL resolution may reset IBC process as JSW plans review plea")
Supreme Court scraps IBC buyout of Bhushan Power & Steel by JSW Steel
Calls resolution plan 'illegal', orders BPSL's liquidation
 "Supreme Court scraps IBC buyout of Bhushan Power & Steel by JSW Steel")
Parliamentary panel flags concerns, suggests ways to improve IBC outcomes
'Operational creditors' interests are often overlooked; they should get adequate representation'
 "Parliamentary panel flags concerns, suggests ways to improve IBC outcomes")
Downward shift in liquidations seen under IBC: IBBI chairperson Ravi Mittal
Of the total cases ending in liquidation, 211 had admitted claims of more than Rs 1,000 crore, with aggregate claims of Rs 9.59 lakh crore
 "Downward shift in liquidations seen under IBC: IBBI chairperson Ravi Mittal")
Ibbi proposes coordinated insolvency resolution for interconnected entities
Ibbi has noted that the current IBC process treats each entity as a standalone unit, overlooking the intricate web of interdependencies often present in modern business ecosystems
Companies in India not using IBC enough to resolve insolvency: IBBI chief
IBBI data suggests that the share of CIRPs initiated by corporate debtors or companies is declining over time
 "Companies in India not using IBC enough to resolve insolvency: IBBI chief")
NPA cases referred for resolution, amount involved drop in 2023-24
As a result, the amount involved and the amount recovered in absolute terms was also lower than the amount involved and recovered in 2022-23
 "NPA cases referred for resolution, amount involved drop in 2023-24")
IBBI, IBA to launch centralised platform for asset liquidation auctions
Initially, the platform will be deployed in pilot mode, with a full rollout planned at a later date after incorporating improvements based on usage feedback
 "IBBI, IBA to launch centralised platform for asset liquidation auctions")
Bids for KSK Mahanadi Power skyrocket post Adani Group's Rs 12,500 cr offer
Six of the original ten bidders, including NTPC, have now submitted revised offers close to Adani's bid, demonstrating strong competition and driving up the asset's value
 "Bids for KSK Mahanadi Power skyrocket post Adani Group's Rs 12,500 cr offer")
There is a need for second-generation IBC reforms, says Amitabh Kant
India's G20 Sherpa called for opening doors to non-sovereign or private players to deploy technology for improved court management
 "There is a need for second-generation IBC reforms, says Amitabh Kant")
Strengthening IBC: Extend prepack to big companies, says industry
Both the finance minister and the economic survey have highlighted the success of IBC
 "Strengthening IBC: Extend prepack to big companies, says industry")
Can improve recovery rate under IBC to 40%: IBBI chairperson to RPs
In accounting terms, a going concern entity is expected to survive and thrive for at least the next 12 months, even if it is going through insolvency proceedings
 "Can improve recovery rate under IBC to 40%: IBBI chairperson to RPs")
At 269, NCLT approves record resolutions under IBC in FY24: IBBI data
However, it is still taking 679 days on average to conclude the resolution process, as against the standard timeline of 330 days
 "At 269, NCLT approves record resolutions under IBC in FY24: IBBI data")
NCLAT sets aside insolvency process against Dream 11 parent company
Section 10A deals with the suspension of initiation of insolvency process for any default arising on or after March 25, 2020, for a period of six months or extending to one year